Roundtable in New York reviews Saudi legislative and judicial reforms and alternative dispute resolution

Published Date: 08/02/2023

The National Competitiveness Center (NCC), in cooperation with the Saudi Center for Commercial Arbitration (SCCA), held a roundtable on “Saudi competitiveness amid legislative and judicial reforms.” The goal was to raise awareness among lawyers, interested parties, and the business sector about the legislative and regulatory environment in Saudi Arabia, which offers alternative dispute resolution mechanisms that are consistent with international best practices.

Minister of Commerce and the chairman of NCC Board of Directors, Dr. Majid Al-Qasabi, said the Saudi economy is witnessing major, fundamental transformations in light of the ambitious goals Vision 2030, one result of which is that Saudi Arabia achieved the highest growth among the G20 countries. In addition, the development of the legislative and commercial system to keep pace with the ongoing transformation of Saudi Arabia has led to the creation of many promising areas and opportunities for the business sector.

In the roundtable, held on the sidelines of the 77th session UNCITRAL, he added that Saudi Arabia has carried out several economic and legislative reforms aimed at enhancing the country’s competitiveness.

Deputy Minister of Commerce Dr. Iman Al-Mutairi, the CEO of NCC, reviewed the impact of the reforms on the commercial legislative environment, and their role in enhancing competitiveness and improving the business environment.

For her part, UNCITRAL Secretary Ms. Anna Joubin-Bret, also the director of the International Trade Law Division in the Office of Legal Affairs of the UN Secretariat, spoke about UNCITRAL’s role in promoting trade at the global level through the drafting of internationally accepted conventions, laws, and rules. It also publishes legal and legislative guides and recommendations of great practical value and provides technical assistance to legal reform projects in various countries.

Meanwhile, SCCA CEO Dr. Hamed Merah said: “SCCA’s vision is to be the preferred regional option for alternative dispute resolution by 2030, and to realize this vision will require the SCCA to have a leading role in the development of the industry and its infrastructure as a whole.

In the same context, Christian Alberti, SCCA chief of ADR and general counsel, said that according to an SCCA study of Saudi case law, 92% of actions to nullify arbitral awards were rejected, while only 8% were granted in whole or in part. This is a lower percentage than one would find in other countries, and it is a clear indication that nullification actions are usually rejected in Saudi Arabia.

Musab Al-Jammaz, supervisor general of the Legislation Office at the Ministry of Justice, talked about Ministry’s goals for the reforms that have been carried out to develop the judicial system. They include reinforcing the values of justice and transparency, enhancing Saudi competitiveness, and improving the business environment by increasing the efficiency of the judicial system. He pointed out that the reform programs have contributed to the holding of 5.4 million online hearings, the issuance of 2 million judicial rulings, and more than 900,000 mediation sessions conducted on the Taradhi platform, which resulted in 160,000 settlement agreements.

The Kingdom of Saudi Arabia participated in the work of the 77th session as a member after it was nominated among the Asia-Pacific countries in the elections held during the General Assembly meeting in March 2022. Since the beginning of its work within UNCITRAL, Saudi Arabia has played an active role through the experts of the Standing Coordination Committee led by the National Competitiveness Center. Together with their counterparts from the 70 member countries, they work to address and remove the legislative obstacles and challenges facing the international commercial environment.