Riyadh Municipality Adopts New Approach to Boost Business Compliance

An employee of “Ejada” performs inspection duties at a commercial shop. Asharq Al-Awsat
An employee of “Ejada” performs inspection duties at a commercial shop. Asharq Al-Awsat
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Riyadh Municipality Adopts New Approach to Boost Business Compliance

An employee of “Ejada” performs inspection duties at a commercial shop. Asharq Al-Awsat
An employee of “Ejada” performs inspection duties at a commercial shop. Asharq Al-Awsat

Riyadh Municipality has introduced a new model for inspection and oversight aimed at promoting compliance culture and raising awareness of regulatory laws among targeted institutions.

The initiative aims to ease financial burdens on businesses, ensuring their sustainability in the market.

In 2018, Riyadh Municipality launched the “Ejada” initiative in line with Vision 2030’s municipal transformation goals to enhance oversight of municipal services. However, its previous focus on fines to increase revenue burdened small and medium-sized enterprises.

Acknowledging this, Riyadh Governor Prince Faisal bin Ayyaf stated that the current approach shifts towards incentivizing compliance rather than solely relying on fines, aiming to boost returns for companies and compliance rates.

Prince Faisal bin Ayyaf recently announced the “Muthal” municipal compliance program to enhance service quality in Riyadh’s health and commercial sectors, leveraging digital technologies.

Emphasizing sustainable development, Riyadh Municipality aims to strengthen the business environment, support the private sector, and promote compliance through partnerships, ensuring regulatory quality and stakeholder satisfaction, aligned with the Kingdom’s national transformation plan, Vision 2030.

Economic experts believe the new model will ease financial pressures on businesses while encouraging better compliance with municipal regulations.

Ahmed Al-Jubeir, an economic specialist, noted to Asharq Al-Awsat that previous oversight lacked preventive measures and awareness, primarily relying on fines.

The new model encourages cooperation with monitors and compliance with regulations, fostering sustainable private sector development.

Al-Jubeir further indicated that the new model will incentivize the private sector and reduce financial burdens on establishments in the labor market.

On the other hand, Ahmed Al-Shahri, a policy expert, clarified to Asharq Al-Awsat that the new program ensures improved regulatory processes, enhances service quality, boosts awareness, and compliance rates of establishments, employing state-of-the-art technologies.

This aligns with municipal transformation initiatives derived from Vision 2030.

Riyadh Municipality’s initiatives aim to enhance regulatory efficiency and support business integrity, contributing to sustainable community development.



Saudi Industry Minister Launches Second Phase of Saudi-Omani Industrial Integration

Saudi Minister of Industry and Mineral Resources Bandar Alkhorayef. (SPA)
Saudi Minister of Industry and Mineral Resources Bandar Alkhorayef. (SPA)
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Saudi Industry Minister Launches Second Phase of Saudi-Omani Industrial Integration

Saudi Minister of Industry and Mineral Resources Bandar Alkhorayef. (SPA)
Saudi Minister of Industry and Mineral Resources Bandar Alkhorayef. (SPA)

Saudi Minister of Industry and Mineral Resources Bandar Alkhorayef and Omani Minister of Commerce, Industry and Investment Promotion Qais bin Mohammed Al Yousef launched the second phase of industrial integration between Saudi Arabia and Oman, reported the Saudi Press Agency on Thursday.

The announcement was made as the ministers co-chaired a joint meeting at the ministry’s headquarters in Riyadh.

The second phase of industrial integration focuses on boosting direct trade, supporting integration in value chains, and stimulating qualitative industrial investments.

Objectives also include treating local products as national products in government procurements and facilitating procedures for exporters and investors.

The meeting reviewed the achievements of the first phase of industrial integration, which included several initiatives such as the Future Factories Program, an initiative aimed at transforming factories from reliance on labor-intensive processes to adopting advanced industrial solutions and boosting integration in supply chains.

It also discussed exchanging knowledge across various industrial sectors, as well as building national strategies and sharing industrial information.