Saudi Arabia Develops Contracting Sector by Adopting Gov’t Classification System

Saudi Arabia supports the reform of the contracting sector by adopting the government classification (Asharq Al-Awsat)
Saudi Arabia supports the reform of the contracting sector by adopting the government classification (Asharq Al-Awsat)
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Saudi Arabia Develops Contracting Sector by Adopting Gov’t Classification System

Saudi Arabia supports the reform of the contracting sector by adopting the government classification (Asharq Al-Awsat)
Saudi Arabia supports the reform of the contracting sector by adopting the government classification (Asharq Al-Awsat)

With Saudi Arabia’s Shura Council having greenlit the contractor classification system, experts confirm to Asharq Al-Awsat that the new scheme will compel contractors to raise the degree of classification in the targeted sectors systematically.

According to specialists, this reduces the number of stumbling projects and aligns with the Kingdom’s aspirations.

The Minister of Municipal, Rural Affairs, and Housing Majed Al-Hogail said that the system is based on a balanced assessment that combines quantitative and qualitative criteria.

It enhances competition between contractors and gives new players with distinguished competencies more significant opportunities, added Al-Hogail.

Earlier, the Ministry of Municipal, Rural Affairs, and Housing had launched a point system for contractors to increase healthy competition and sustainability in the Kingdom’s construction sector.

The ministry also filled in the private sector on the point system linked to an e-platform.

As for the Shura Council approving the contractor classification system, the Chairman of Riyadh Contracting Committee Fahad Nasban said that the move reflects a great leap for boosting private sector quality production and performance.

Nasban pointed out that the new system will help raise the level of localization, employee wages, and the level of experience enjoyed by technicians, engineers, project managers, and marketers.

It will also enhance the quality of implemented projects, added Nasban.

The new system will also force contractors to adhere to specific conditions and fulfill several requirements before taking on quality implementation of projects, real estate expert Ibrahim al-Sahn told Asharq Al-Awsat.

High-quality implementation of projects, according to al-Sahn, is vital for realizing the national transformation plan, dubbed Vision 2030.

Al-Sahn maintained that government agencies carefully select contractors to implement their projects and pay attention to high-quality standards in cooperation with competent public authorities.



UAE, Serbia Sign Comprehensive Economic Partnership Agreement

UAE President Sheikh Mohamed bin Zayed Al Nahyan and Serbian President Aleksandar Vučić. WAM
UAE President Sheikh Mohamed bin Zayed Al Nahyan and Serbian President Aleksandar Vučić. WAM
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UAE, Serbia Sign Comprehensive Economic Partnership Agreement

UAE President Sheikh Mohamed bin Zayed Al Nahyan and Serbian President Aleksandar Vučić. WAM
UAE President Sheikh Mohamed bin Zayed Al Nahyan and Serbian President Aleksandar Vučić. WAM

UAE President Sheikh Mohamed bin Zayed Al Nahyan and Serbian President Aleksandar Vučić have witnessed the exchange of a Comprehensive Economic Partnership Agreement (CEPA), paving the way for increased trade and investment flows and bilateral private sector collaboration.

Sheikh Mohamed commended the exchange of the CEPA as a key milestone in the relations between the UAE and Serbia.

“The CEPA exchange with Serbia is a notable step forward in our efforts to create a network of trade agreements that will accelerate investment, promote knowledge-sharing, and create opportunities for joint ventures in high-growth sectors,” he said.

“Serbia represents an important addition to the CEPA program and a bridge into the high-potential region of Eastern Europe. The UAE-Serbia CEPA reflects our shared ambition to establish a new era of collaboration between our nations and unlock long-term, sustainable growth for both our economies.”

The Serbian President expressed confidence that the agreement would pave the way for new opportunities in economic cooperation and diversification, fostering sustainable growth and prosperity for both nations.

Once implemented, the UAE-Serbia CEPA is expected to remove or reduce duties on product lines, lift unnecessary barriers to trade, protect intellectual property rights, support small and medium-sized companies, and facilitate mutual investment flows.

The UAE is the third-largest market for Serbian exports in the Middle East, and increased FDI has been directed toward high-priority sectors, including renewable energy, agriculture, food security, infrastructure, and logistics.