The Saudi Center for Commercial Arbitration (SCCA) welcomes the recent Saudi Council of Ministers Resolution on developing the arbitration ecosystem in Saudi Arabia. The initiative aims to foster the highest standards and align with international best practices, positioning Saudi as a leading, mature, and safe seat for arbitration.
The Council of Ministers Resolution includes several legislative, judicial, and executive measures and directives aimed at empowering the arbitration and alternative dispute resolution (ADR) industry and cultivating the necessary support.
One of these initiatives outlined in the Resolution is that the Saudi National Competitiveness Center (NCC), in partnership with the Ministry of Commerce, the Ministry of Investment, the Ministry of Justice, and the SCCA, will review the Saudi Arbitration Law and its Implementing Regulations and report on their findings for further action.
The Resolution also calls on relevant governmental entities to further integrate with the Saudi arbitration ecosystem through technical integration and other means, with the aim of giving access to government e-services to support and enhance the effectiveness institutional administration of arbitrations.
The Resolution includes a directive to translate and publish selected judgments related to arbitration. This will inform the international community about Saudi judicial practices pertaining to arbitration, enhancing transparency and consistency regarding judicial interpretation of the Saudi Arbitration Law, and fostering predictability about legal outcomes.
The Council of Ministers directed a study on general perceptions of arbitration practices in Saudi Arabia from an international perspective, targeting stakeholders in the arbitration field. The study will assess the quality of arbitration proceedings and outcomes. The Resolution also encourages Saudi universities and research institutions to conduct applied and statistical studies of arbitration and to publish their findings.
The Resolution calls on arbitral institutions operating in Saudi to hold events related to furthering arbitration practices in Saudi Arabia, participate actively in international events, and publish relevant reports and studies to improve general perceptions of arbitration practices in Saudi Arabia. It also calls for raising public awareness among legal practitioners by providing arbitration and ADR training programs and publishing guidelines for drafting arbitration clauses and agreements.
SCCA Chairman Dr. Walid Abanumay stated that the Resolution underscores a structured and collaborative national effort to advance the arbitration ecosystem in Saudi Arabia. He highlighted the critical role of legal, judicial, and institutional reforms in fostering efficient and effective dispute resolution mechanisms within the Kingdom.
SCCA CEO Dr. Hamed Merah further emphasized the Resolution’s emphasis on fostering collaboration among judicial, governmental entities, and institutions. He noted that such coordinated efforts are fundamental to creating a more supportive and enabling environment for the growth and success of the arbitration and ADR industry.