The Ministry of Trade and Investment held a workshop attended by group of specialists and representatives of government agencies on Thursday morning to introduce bankruptcy system project, which is a part of the ministry plan to modernize the systems and regulations governing trade and investment for the trade and the investment sector within the initiatives of the national transformation program 2020 and to achieve the objectives of the Saudi Vision 2030.
The workshop aims to inform the representatives of government agencies and specialists on bankruptcy system project and seek their opinions and suggestions, and the define the project materials and its goals. It also aims to encourage the local and foreign investors to invest in the Saudi market and enhance the confidence in the credit and financial transactions.
The workshop started with a detailed visual presentation of the bankruptcy system project and its general objectives and procedures especially the preventive settlement, financial reorganization conduction, liquidation, the procedures for small debtors and performed administrative liquidation in addition to the project chapters. The workshop whiteness great participation from the attendances who enriched the meeting with their suggestions and opinions about the project.
The general supervisor of the Agency of Technical Affairs at the Ministry of Trade and Investment, Mr. Bader Al-Haddab explained that the system's project aims to enhance the economy by enabling the defaulter projects to reconsider its situation, and work to overcome the financial difficulties, so that they can continue its practice, or choose liquidation. This suggestion will preserve the rights of debtors and other stakeholders to enhance confidence in the business and financial transactions.
This workshop was attended by representatives of the finance, justice, energy, industry and mineral resources, economy and planning, environment, water, agriculture, culture, media, Bureau of ombudsmen, SAMA, the Capital Market Authority, the General Authority for Investment and Organization for Standardization Metrology and Quality and the Saudi Commission for accredited evaluators.
It worth mentioning that the bankruptcy system project went through many stages one of which is a cooperation with one of the specialized offices in this field, according to a specific methodology adopted to monitor the needs of traders and investors in the Kingdom and to analyze the financial difficulties, along with studying the best international practices in the field of bankruptcy, after that asking for the public opinions and suggestions.
Maher Othman, the bankruptcy system project manager, explained that the bankruptcy system project has 320 article, came with details about the bankruptcy procedures. This system gives priority to preventive settlement and financial reorganization which aims difficulties that faced the debtors and enabled them to resume the practice of trade and economic as soon as possible. And to raise the proportion of debts payment to support the viable projects in case of being exposed to a financial defaulter in a way that will safeguard the rights of debtors without overlooking the economically valuable and invaluable. Furthermore, built mechanisms to liquidize the invaluable projects rapidly. The project took into account the development of small and medium enterprises through simplified provisions of its financial difficulties to encourage the initiative and engaged in the trade and economic activities.