International Agreements

International Economic Cooperation

Saudi Arabia is a main player in the commercial life around the world. By signing agreements with world trade organizations and many European and Asian countries, Saudi Arabia has created a powerful cooperation with world economy.

Gulf Cooperation Council

The  Gulf  Cooperation  Council  (GCC)  was  founded  in  May  1981,  by  the  leaders  of  the  United  Arab Emirates, the Kingdom of Bahrain, the Kingdom of Saudi Arabia, the Sultanate of Oman, the State of Qatar and the State of Kuwait. The GCC Charter documents the special relations of the six states, their common qualities and similar systems founded on the creed of Islam, and their faith in a common destiny.

WTO Accession Agreement
Agreement on the Accession of the Kingdom of Saudi Arabia to the World Trade Organization (WTO)

The agreement has three documents:

1.  Working party report. This report describes Saudi regulations and policies at present and contains answers to all questions received from other members of the working team (32 countries).
2.  The schedule of specific commitments in services. This includes Saudi Arabia's commitments in commercial presence (sectors that are open for foreign investors) and also include commitments on the presence of natural persons (visas for business visitors, intra-corporate transferees, contractual service suppliers  ... etc). The horizontal commitments mean that they are applicable across all sectors. 
3.  The schedule of commitments on goods. This includes a list of the custom tariff for all goods.  It indicates the rate at accession, what the final rate will be, and when it will be reached.

Trade Agreements

Investment Promotion & Protection Agreements

These agreements aim to promote and protect the investments of the nationals and enterprises of one contracting party in the territory of the other contracting party by providing an appropriate legislative environment to stimulate and increase investment, trade and industrial activity. The agreement also provides adequate guarantees to nationals or enterprises of the other contracting party to transfer their profits, dividends and other current income. The investment will not be subject to expropriation except for a public purpose and against prompt and adequate compensation.

The Kingdom has signed Investment Promotion & Protection Agreements with the following eight countries:

• Italy
• Germany
• Belgium
• Taiwan
• China
• France
• Malaysia
• Austria

Avoidance of Double Taxation Agreements

These agreements aim primarily to eliminate the double payment of taxes by nationals and enterprises of a Contracting State in the territory of the other. It also aims to create an appropriate economic environment to attract capital between the two contracting parties.

Economic, Trade and Technical cooperation Agreements

These agreements aim to develop economic, trade and technical cooperation in accordance with the laws of each contracting party, and create appropriate conditions to develop cooperation on the basis of reciprocal interests. This allows the free inflow of goods, capital, and services and the free movement of individuals and investment between the two contracting party.

Other Agreements:

In addition to the above, the Kingdom of Saudi Arabia is party to a number of trade and economic agreements with GCC and Arab League countries. These agreements aim at promoting trade and economic development in the respective countries.

• The Coordinated Gulf Efforts
• The GCC Joint Economic Accord
• Undertaking economic activities in the kingdom by GCC citizens
• The GCC countries' joint strategy for industrial development
• The Integrated Statutes Regulating Foreign Investment in the GCC Countries
• The Foundations for Economic Integration in the GCC Countries
• The Integrated Regulations for Protecting Industrial Products
• Trade Facilitation and Development Agreement Between the Arab Countries
• The Integrated Agreement on Investing Arab Capital Funds in the Arab Countries
• Transit Agreement Between Arab League Countries
• The Agreement on Mutual Exemptions from Taxes and Administrative Charges the Activities and Equipment of Arab Airlines.