الضمانات القانونية للاستثمارات الأجنبية في المملكة العربية السعودية

Abstract EN

The paper discuses the adequacy of the legal guarantees for foreign investment in Saudi Arabia.

The paper reviewed a number of acts and bilateral treaties held between the government of Saudi Arabia and other governments as well as case laws.

The paper has come out with a number of results: (1) foreign investors in Saudi Arabia enjoy legal guarantees against taking of properties.

(2) Taking privates properties for general benefit is subject to specific conditions most of which is that the motive behind the expropriation being the implementation of an approved project in the state budget.

However, Saudi case law demonstrated the possibility of compensation even if the project is not approved in the state budget.

(3) The investment law has not included any provisions relating to nondiscrimination and any investment incentives in the developing and least developed regions.

(4) The most important difficulties countered legal guarantees for foreign investment in Saudi Arabia being the judiciary’s attitude towards compensation resulting from lost opportunity and (BITs) attitude toward the way the compensation is assessed.