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Saudi Arabia Mandates Event Organizers to Implement Governance Rules

A glimpse of the Future Investment Initiative events in Riyadh (Asharq Al-Awsat)
A glimpse of the Future Investment Initiative events in Riyadh (Asharq Al-Awsat)
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Saudi Arabia Mandates Event Organizers to Implement Governance Rules

A glimpse of the Future Investment Initiative events in Riyadh (Asharq Al-Awsat)
A glimpse of the Future Investment Initiative events in Riyadh (Asharq Al-Awsat)

Saudi Arabia has mandated event organizers to implement governance rules for hosting events and submit a report to the Events Committee under the Council of Economic and Development Affairs within 30 days of an event’s conclusion, Asharq Al-Awsat has learned.

The report must detail the application of governance regulations, challenges encountered, and recommendations for improvement.

The kingdom hosts numerous events throughout the year as part of efforts to expand its exhibitions and conferences sector. The initiative aims to enhance the industry, attract global events, promote Saudi Arabia’s unique opportunities and advantages, and reinforce its leadership in the international exhibitions and conferences landscape.

The Events Committee Secretariat under the Council of Economic and Development Affairs will update event governance rules as needed in coordination with relevant authorities, according to available information.

Saudi authorities have mandated event organizers to adhere to strict governance rules covering program content, security, logistics, and promotion. The regulations aim to ensure compliance with national values, streamline operations, and enhance Saudi Arabia’s global event-hosting capabilities.

Event Program and Content

Before hosting an event, organizers must implement measures including drafting a charter outlining the commitments of local and international participants and guests.

This charter must align with Saudi values and principles and prevent the invitation of delegations known to hold positions contrary to the kingdom’s stance, in coordination with the Interior Ministry, State Security, and other relevant entities.

Additionally, organizers must prohibit any banners, slogans, writings, or graphics deemed offensive or inconsistent with national values.

After the event, organizers must submit a final report detailing key takeaways, addressing any violations in coordination with relevant authorities, and documenting non-compliant content, identifying causes, and outlining corrective measures for future events.

Logistics Management

Organizers are required to develop a comprehensive logistics plan before the event, covering guest and participant management, hospitality arrangements, and designated entry and exit points, including VIP access and emergency exits. The plan must also ensure the provision of dedicated transport services to and from the venue.

During the event, organizers must oversee visitor and participant movement, set up multilingual signage for smooth crowd flow, and deploy a specialized team to manage on-site mobility.

They must also ensure real-time schedule monitoring, rapid response mechanisms, and technical support teams capable of addressing unexpected issues such as power outages, sound or lighting failures, and adverse weather conditions.

Security Measures

Event organizers must implement strict security protocols, including developing a support plan tailored to the event’s scale, nature, and location, in coordination with the Interior Ministry and other relevant agencies.

Security screenings for guests, official delegations, and participants are mandatory, along with venue capacity assessments and emergency exit planning.

Additionally, all stakeholders involved in the event must coordinate with security authorities, relay any relevant information to the operations center, and enforce participant screenings to prevent the display of political or otherwise non-compliant symbols.

Media and Promotional Strategy

Ahead of an event, organizers must design a strategic media plan to maximize exposure, select appropriate communication channels, and collaborate with media partners, influencers, and ambassadors based on the target audience.

They must also launch campaigns across designated platforms and establish a crisis management strategy to handle criticism, mitigate risks, and respond to negative feedback.

In collaboration with the Saudi Tourism Authority, organizers must develop customized tourism packages for international visitors and provide marketing materials and event tickets at least 90 days before the event date.

Saudi Arabia established the Saudi Conventions and Exhibitions General Authority in 2018 to enhance the industry’s capabilities, streamline its development, and strengthen its role in the national economy.

The authority aims to boost the sector’s efficiency and remove obstacles to its growth while adhering to best global practices.

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Business

Riyadh, Moscow Take Strategic Step toward Free Movement, Support for Investment and Tourism

Officials are seen at a joint Saudi-Russian committee meeting. (SPA file)
Officials are seen at a joint Saudi-Russian committee meeting. (SPA file)
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Riyadh, Moscow Take Strategic Step toward Free Movement, Support for Investment and Tourism

Officials are seen at a joint Saudi-Russian committee meeting. (SPA file)
Officials are seen at a joint Saudi-Russian committee meeting. (SPA file)

The mutual visa waiver for visits between Saudi Arabia and Russia took effect on Monday, marking a significant strategic step to strengthen economic and tourism openness between them.

The waiver helps save time and simplify procedures, and reduces costs for businesspeople, investors, and tourists, helping increase the frequency of direct travel and expanding opportunities for establishing business and investment partnerships.

On the business level, facilitating visa-free entry for up to 90 days gives Saudi and Russian companies greater flexibility to hold meetings, explore opportunities, and participate in trade fairs and economic events without bureaucratic complications, especially in sectors such as energy, industry, technology, tourism, and logistics.

This also boosts private sector confidence and encourages greater trade and joint investments.

The volume of trade between Saudi Arabia and Russia increased by more than 60% in 2024, reaching $3.8 billion. Both countries are taking accelerated steps to expand this trade and increase the volume of investments.

For tourism, the decision paves the way for more travel between the two countries, given the growing interest of Russian tourists in new Saudi destinations under Vision 2030, such as AlUla and the Red Sea, as well as entertainment and cultural events and tourist seasons. In return, Saudis are given greater flexibility to explore Russian cities, and cultural and natural destinations.

Facilitating movement

The agreement carries an important diplomatic dimension as it reflects the development of Saudi-Russian relations and their shift towards a deeper partnership at the economic, tourism, and cultural levels, in line with global trends aimed at facilitating the movement of people and deepening international cooperation.

Speaking to Asharq Al-Awsat, experts believe that the mutual visa waiver is a significant shift in relations as they are no longer limited to political coordination and energy, but are moving towards strengthening direct economic and tourism exchanges.

The experts said these steps often have a quick impact on investors and companies as they reduce procedural barriers and provide greater flexibility for holding meetings and exploring business opportunities, especially in sectors that attract mutual interest such as tourism, energy, technology, and logistics services.

Trade exchange

Dr. Salem Baajajah, an economics professor at King Abdulaziz University, told Asharq Al-Awsat that the move will pave the way for investment and increase the volume of trade between the two countries, allowing businesspeople to discover commercial and investment opportunities in Saudi Arabia and Russia.

From a tourism perspective, the agreement comes at an important time with the rapid development of the Saudi tourism sector under Vision 2030 as the Kingdom seeks to attract more international tourists and diversify its target markets, he added.

Economic researcher Fadwa AlBawardi told Asharq Al-Awsat the implementation of the mutual visa waiver is an important strategic step that deepens bilateral relations between the two countries at all levels.

The agreement is part of Saudi Arabia and Russia’s efforts to facilitate the movement of citizens and businesspeople, and to boost cultural and economic exchange, especially amid aspirations to achieve sustainable development and strengthen economic ties between the two sides, she went on to say.

Business

Ongoing Strait of Hormuz Disruption Could Drag Oil Market Recovery into 2027, Aramco CEO Says

Aramco CEO Amin Nasser speaks at a conference. (Reuters file)
Aramco CEO Amin Nasser speaks at a conference. (Reuters file)
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Ongoing Strait of Hormuz Disruption Could Drag Oil Market Recovery into 2027, Aramco CEO Says

Aramco CEO Amin Nasser speaks at a conference. (Reuters file)
Aramco CEO Amin Nasser speaks at a conference. (Reuters file)

The ongoing energy supply shock is the largest the world has ever experienced, and continued disruption of the Strait of Hormuz could delay oil market normalization into 2027, Saudi Aramco CEO Amin Nasser warned on Monday.

"The longer the supply ‌disruptions continue, even ‌for another few more weeks, it ‌is ⁠going to take ⁠a much longer time for the oil market to rebalance and stabilize," he told analysts on a call to discuss the company's first-quarter results, which were released on Sunday and beat expectations.

The recovery could drag into 2027 if the situation continues until ⁠mid-June, Nasser said.

Iranian authorities effectively blocked ‌the vital waterway ‌in response to the US-Israel attacks on Iran that began ‌on February 28, sending energy prices surging and ‌stoking fears of spiraling inflation and a looming economic downturn.

Aramco has ramped up its East-West pipeline to its expanded capacity of 7 million barrels per day (bpd) to ‌divert crude from its production heartland to the Red Sea port of Yanbu.

⁠Nasser on Sunday ⁠called the pipeline a "critical lifeline".

The market is losing around 100 million barrels of oil for every week the maritime chokepoint remains closed, Nasser said, adding that only two to five vessels are now crossing the strait daily compared to around 70 before the war.

Even if the strait opens today, it will still take months for the market to rebalance, he said.

Nasser, however, predicted a very robust return to demand growth once normal shipping and trade resume.

Business

Saudi Arabia Reshapes Its Industrial Identity... From Assembly to Independent Innovation

A view of the Saudi capital Riyadh. (SPA)
A view of the Saudi capital Riyadh. (SPA)
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Saudi Arabia Reshapes Its Industrial Identity... From Assembly to Independent Innovation

A view of the Saudi capital Riyadh. (SPA)
A view of the Saudi capital Riyadh. (SPA)

Saudi Arabia is moving rapidly and steadily toward building a comprehensive industrial system, surpassing ambitions of mere assembly and importation, but aiming to establish robust engineering capabilities capable of resilience and competition.

This was revealed by a recent report issued by Alvarez & Marsal, and confirmed by Andrea Di Lello, Senior Director of Strategy and Performance Improvement at the company, in an interview with Asharq Al-Awsat.

Saudi localization efforts are distributed across highly strategic sectors, including space, aviation, automotive, shipbuilding, information technology, artificial intelligence, and financial technology. In each of these sectors, local projects connect with major international partnerships, reflecting the depth of the ongoing transformation.

In the aerospace and aviation sector, the Saudi Arabian Military Industries (SAMI) has started locally producing spare parts for F-15 aircraft and airborne electronics systems, while Boeing, Lockheed Martin, and Airbus have signed localization agreements targeting 50% local content. The numbers here tell a remarkable story of growth; the actual localization rate has increased from 4 percent in 2018 to about 20 percent today.

However, Di Lello put these numbers in their proper context, saying agreements with international partners have laid the initial foundations by building operational capabilities and developing advanced infrastructure for maintenance, repair, and overhaul.

He warned that the next phase, which is building engineering capabilities in design and systems integration, is the true added value, and this is where the greatest opportunities lie.

Factories shaping a different future

At the King Abdullah Economic City, Lucid Motors opened the first car factory in the history of the Kingdom, while Ceer Motors is seeking to design and manufacture electric cars locally, and SNAM continues to assemble commercial vehicles with ambitions to transition to full manufacturing.

Asked about the realistic timelines for achieving independence in innovation in these sectors, Di Lello explained that tangible progress can be made within five years.

The critical factor is not the time itself, but the quality of execution, which includes the true definition of achievement and how the knowledge transfer process is organized, he added.

As for the shipbuilding sector, it is based on an ambitious pillar, the King Salman Global Maritime Industries Complex, which aims to localize more than 50 percent of construction activities and drilling platform manufacturing. This is supported by a joint venture with the Korea’s Hyundai Group, which aims to manufacture ship engines and their structural components.

Di Lillo described the complex as a "world-class facility," noting that long-term agreements with major local buyers provide a commercial foundation that is not usually available to most emerging countries in this sector.

The Alvarez & Marsal report does not hide the existing gaps. Di Lillo described them when discussing the readiness of local suppliers, saying that the priority today is to move from an assembly phase to a more mature phase based on independent design, systems integration, and the ability to grant certifications.

He identified the most urgent needs as building a base of "first-tier" suppliers capable of designing complex components and developing local engineering expertise able to modify products and certify them technically.

Regarding joint training programs with global companies, Di Lillo set a fundamental condition for their success, explaining that the programs most capable of producing sustainable outcomes are those that include clear engineering milestones, binding commitments to transfer technology, and a graduated pathway that moves trainees from operational training to possessing design capabilities.

He recommended that future agreements should guarantee clear qualitative outputs, not just participation targets.

The report paid special attention to one competitive advantage: Saudi Arabia’s capabilities in information technology and artificial intelligence. Di Lillo said these capabilities place the Kingdom in an advanced position in terms of readiness for innovation and adoption of modern technologies.

Research and development

The Kingdom currently invests about 0.56 percent of its GDP in research and development, a figure that has grown by more than 30 percent year on year.

Di Lillo stressed that the real opportunity now lies in ensuring that this growing investment is converted increasingly into applied industrial R&D, yielding strong and tangible results in trade and manufacturing.

The report does not overlook external risks, noting that fluctuations in oil prices and tensions in international trade may affect investment flows. However, it viewed these challenges as opportunities to attract talent and highly experienced small and medium-sized enterprises.

The report described the current phase as moving beyond the initial setup and establishment stages to approach “environmental maturity,” which is the third phase of localization. This phase focuses on building unique local knowledge capabilities and includes strengthening self-sustaining companies, establishing innovation centers, deepening local supply chains, and fostering partnerships between universities and industry.