Saudi Arabia signed off a law change on privatization to boost investments. The kingdom is now to consider fairness, transparency, and feasibility before giving the green light to private-public partnerships.
The National Center for Privatization and PPP have approved a new set of rules which regulate how to reach great deals in this sector.
Being published in the official newspaper Umm Al-Qura, the new rules call for investors to further activities in the kingdom.
The new Implementing Regulations of the Private Sector Participation Law will require real competition in the tendering process and ensure the public interest is protected.
It also provides legislation that ensures dealing fairly with all participants and avoiding any conflict of interest.
The new laws aim is to encourage investors to bid for contracts and, therefore, boost private sector contribution to Saudi Arabia’s gross domestic product.
Consequently, it will achieve one of the objectives of the Saudi Vision 2030, which is to unlock state-owned assets to the private sector and privatize selected government services.