Men attend a court hearing before a judge in the General Court in Riyadh, July 24, 2018. REUTERS/Faisal Al Nasser
Your feedback is important to us!
We invite all our readers to share with us their views and comments about this article.
Disclaimer: Comments submitted by third parties on this site are the sole responsibility of the individual(s) whose content is submitted. The Daily Star accepts no responsibility for the content of comment(s), including, without limitation, any error, omission or inaccuracy therein. Please note that your email address will NOT appear on the site.
Alert: If you are facing problems with posting comments, please note that you must verify your email with Disqus prior to posting a comment. follow this link to make sure your account meets the requirements. (http://bit.ly/vDisqus)
Saudi Arabia's first comprehensive bankruptcy law went into effect last month, one of many reforms to the legal system that economists say may be more important in the long run than high-profile privatizations. Crown Prince Mohammad bin Salman's Vision 2030 push to diversify the economy away from oil has grabbed attention for its big-ticket initiatives, such as a $500 billion business zone and a plan, now shelved, to sell part of the state oil firm. "While the headline-setting Vision 2030 continues to be the face of change in Saudi Arabia, the driving force behind it remains the tangible and impactful modifications done to local laws and regulations that drive investment," said Bruce McAlister, a general counsel for industrial conglomerate GE, a top foreign investor.He cited the bankruptcy law, new laws on government-private sector partnerships, and rules allowing 100 percent foreign ownership of trading firms.Other reforms seek to reassure foreign firms by connecting the country more closely to the legal system abroad.In the past, Saudi courts rarely enforced the judgments of foreign courts and arbitration centers against Saudi companies. This has been changing; the country received 163 applications to enforce foreign judgments worth $667 million last year.
FOLLOW THIS ARTICLE