Saudi Arabia is not a party to the World Trade Organization (WTO) Agreement on Government Procurement (GPA). However, the country has been an observer of the WTO GPA since 2007.

Pursuant to Section 11.03 of the Ministry of Investment Services Manual, foreign ownership in the telecommunications sector is generally permitted, subject to specific restrictions depending on the nature of the activity. For telecommunications services, foreign ownership is limited to a maximum of 60%, whereas for value-added communications services, the cap is set at 70%.

Under Art. 6 of the Rules for Foreign Investment in Securities, Saudi Arabia applies specific maximum foreign equity share limits to listed companies. A non-resident foreign investor (other than a foreign strategic investor) may not own 10% or more of the shares or convertible debt instruments of any listed issuer. In addition, the aggregate holdings of all foreign investors (resident and non-resident, excluding foreign strategic investors) in any single listed issuer may not exceed 49% of its shares or convertible debt instruments, subject also to stricter limits that may be set in the company’s articles of association or other applicable regulations.

According to Section 5.1.2 of the Regulations of Localization Obligations for Telecommunications Service Providers, operators holding licences or permits such as the Unified Facility-Based Telecommunications Services Licence, Facilities-Based Fixed Telecommunications Services Licence, Mobile Virtual Network Operator (MVNO) Licence, Internet of Things Virtual Network Operator (IoT-VNO) Services Licence, and the Licence to Provide Wholesale Services for Infrastructure must comply with specified Saudization (localisation) requirements for leadership and general staff positions.
These providers must ensure that the Chief Executive Officer is a Saudi national, that Senior Management (Level I) positions are localised at a rate of at least 75%, that Senior Management (Level II) positions are localised at a rate of at least 80%, and that an overall localisation rate of no less than 80% is achieved across all employees in the company.

According to Art. 7 of the Investment Law of 2024, the Ministry of Investment is required to establish a national register of investors and to receive investors’ applications for the legal approvals necessary to engage in investment activities, including the issuance of any licences or permits. Under Art. 8, the competent authority must issue and update a list of excluded (negative list) activities, which the Ministry must publish, and any foreign investor wishing to engage in an activity included in this list must first obtain prior approval from the Ministry of Investment. It is reported that the negative list covers, inter alia, audiovisual and media services, electronic mail services, the provision of online information and database retrieval services, as well as several telecommunications services.

Art. 3 of the Government Tenders and Procurement Law stipulates that foreign suppliers can only participate in the public procurement only if the following conditions apply:
- the relevant scope of work shall be posted on the procurement portal to ensure that there is no more than one local person qualified to carry out the work; and
- the Ministry of Investment (the key regulator of foreign investment) approves the arrangement.

Saudi Arabia applies a “Mandatory List” of national products in government procurement. Under the Regulations on Preference for Local Content and Local SMEs and Companies Listed on the Capital Market, the Mandatory List is defined as a list of national products issued and regularly updated by the Local Content and Government Procurement Authority (LCGPA) (Art. 1) and made available on the LCGPA website. Government entities shall require bidders to source the products in the Mandatory List locally (Arts. 4(1) and 7(1)). In practice, foreign suppliers cannot offer imported products in categories covered by the Mandatory List and must either source listed items from Saudi manufacturers or localise production (e.g. through joint ventures or local manufacturing), otherwise their bids may be rejected or their supplies refused for non-compliance.

Art. 11.9 of the Regulations for Importation and Licensing of Telecommunications and Information Technology Equipment provides a general requirement to disclose details of encryption systems contained in ICT equipment being imported, including equipment imported for government public procurement.

Art. 35 of the Government Tenders and Procurement Law provides that government contracts may include knowledge transfer obligations, encompassing both practical and theoretical skills. Art. 58 of Ministerial Decision No. 3479/1441 (Implementing Regulations) further allows the competent authority to conclude contracts aimed at industry localisation and knowledge transfer, provided this does not result in monopolisation and takes account of technological and industrial developments. The authority must, in coordination with the Center of Spending Efficiency (CSE) and relevant bodies, prepare a feasibility study, obtain ministerial approval, and then develop the tender documents and contract forms. The resulting agreement must also specify, in coordination with the beneficiaries, the quantities or proportions of localised products or knowledge that government entities commit to purchase.

Saudi Arabia is a signatory of the World Trade Organization (WTO) Information Technology Agreement (ITA) of 1996 but is not a signatory of its 2015 expansion (ITA II).

In August 2024, following publication in the GCC Technical Secretariat’s Official Gazette (Vol. 47, 20 August 2024), the GCC Member States, included Saudi Arabia, imposed definitive anti-dumping duties for five years on imports of electrical connectors, switches, sockets and plugs for a voltage not exceeding 1,000 volts (HS 853669, 853650, 85444291, 85444221) originating in or exported from the People’s Republic of China; the duty rates range from 11.3% to 42% by exporter.

Oman has not signed the United Nations (UN) Convention on the Use of Electronic Communications in International Contracts.

Oman has adopted national legislation based on or influenced by the United Nations Commission on International Trade Law (UNCITRAL) Model Law on Electronic Commerce.

Oman has adopted national legislation based on or influenced by the United Nations Commission on International Trade Law (UNCITRAL) Model Law on Electronic Signatures.