Saudi Arabia: Competition Law Aims to Combat Monopolistic Practices

Women shop at a mall in Jeddah, Saudi Arabia. (Getty Images)
Women shop at a mall in Jeddah, Saudi Arabia. (Getty Images)
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Saudi Arabia: Competition Law Aims to Combat Monopolistic Practices

Women shop at a mall in Jeddah, Saudi Arabia. (Getty Images)
Women shop at a mall in Jeddah, Saudi Arabia. (Getty Images)

The regulations of the Saudi Competition Law have revealed that it aims to protect and promote fair competition and combat monopolistic practices that affect legal competition and the consumer’s interest.

The regulations guarantee that the services and goods' prices conform to the market rules and free competition concepts.

The law bans the practices – including agreements and deals between establishments – whether written or oral, if the purpose behind them is to harm competition, especially in terms of determining prices of goods, services fees, conditions of selling and purchasing, limiting the inflow of services and products, etc.

The law also forbids any attitude that hinders the entry of an establishment into the market, pushes an establishment out of the market, blocks available products or services wholly or partially from a specific establishment. It also prevents dividing markets for the sake of selling or buying services and products.

Article six of the law includes prohibiting any establishment that dominates the market or part of it from abusing its power to breach or limit competition.

The law bars setting conditions on an establishment to abstain from dealing with another and suspend the selling of a service or product in return for an obligation or services that are not related to the original contract.

The law called on establishments wishing to join the economic concentration to notify the General Authority for Competition at least 90 days before completion in case the annual sales of the establishment surpasses a limit specified by the list.



Egypt's Net Foreign Assets Retreat in April after March Jump

A general view of the new headquarters of Central Bank of Egypt, at the New Administrative Capital (NAC) east of Cairo, Egypt December 8, 2023. REUTERS/Amr Abdallah Dalsh/File Photo
A general view of the new headquarters of Central Bank of Egypt, at the New Administrative Capital (NAC) east of Cairo, Egypt December 8, 2023. REUTERS/Amr Abdallah Dalsh/File Photo
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Egypt's Net Foreign Assets Retreat in April after March Jump

A general view of the new headquarters of Central Bank of Egypt, at the New Administrative Capital (NAC) east of Cairo, Egypt December 8, 2023. REUTERS/Amr Abdallah Dalsh/File Photo
A general view of the new headquarters of Central Bank of Egypt, at the New Administrative Capital (NAC) east of Cairo, Egypt December 8, 2023. REUTERS/Amr Abdallah Dalsh/File Photo

Egypt's net foreign assets (NFAs) fell by $1.5 billion in April, central bank data showed on Wednesday, retreating from March, when the approval of the fourth review of the country's IMF program sparked a jump.

NFAs slid to the equivalent of $13.54 billion, from $15.08 billion at the end of March, according to Reuters calculations based on official central bank currency exchange rates.

In March, NFAs jumped by $4.9 billion after the International Monetary Fund approved the disbursement to Egypt of $1.2 billion after completing its review of the country's $8 billion economic reform program, Reuters reported.

The IMF also approved a request for a $1.3 billion arrangement under the IMF's resilience and sustainability facility.

The approvals led to an inflow of foreign investment in Egyptian pound treasury bills, bankers said.

Egypt had been using foreign assets, which include assets held by both the central bank and commercial banks, to help prop up its currency since as long ago as September 2021. Net foreign assets turned negative in February 2022 and only returned to positive territory in May last year.

Foreign assets increased in April at both the central bank and commercial banks, while foreign liabilities fell at both as well.