Localities

Minister of Justice: 43% growth in enforcement of arbitration rulings reflects investor confidence

His Excellency the Minister of Justice, Dr. Walid bin Mohammed Al-Samaani, affirmed that the Kingdom of Saudi Arabia is witnessing a qualitative transformation in its legislative and procedural structure, which has directly contributed to consolidating the position of arbitration and alternative dispute resolution as effective and reliable options within the national justice system. His Excellency pointed out that these developments were not accidental, but rather the result of diligent institutional work aimed at strengthening the legal environment.

The Minister of Justice’s remarks came during his active participation in the Fifth International Conference on Commercial Arbitration, specifically in the first dialogue session entitled “National Strategy and Global Confidence: Enhancing Legal Certainty and Investor Confidence through the Kingdom’s Consistent Legal, Judicial, Financial and Commercial Strategies,” where he highlighted the integration between the various government sectors.

Vision 2030 and the legislative environment

In discussing the historical background of this transformation, this legal movement aligns with the objectives of the Kingdom's Vision 2030, which has placed great emphasis on developing the judicial system and modernizing its regulations. In recent years, the Kingdom has witnessed the enactment of a package of specialized legislation, such as the Civil Transactions Law and the Evidence Law, which aim to enhance the efficiency of judicial work and increase the predictability of judgments, thereby creating a secure environment for the business sector.

Al-Samaani explained that the integration of legal and judicial processes with financial and commercial ones has contributed to building a stable and reliable investment environment. He emphasized that the clarity of regulations and the effectiveness of the judicial system in supporting arbitration, particularly through the unification of enforcement jurisdiction, represent a fundamental pillar for enhancing legal certainty among local and international partners.

Record growth in commercial arbitration

The Minister of Justice revealed figures reflecting the success of these strategies, indicating that the system for enforcing arbitration rulings recorded a remarkable growth of 43% during 2025. It is worth noting that commercial arbitration constituted 50% of the total of these rulings, which is a strong indicator of the growing confidence of investors and the business sector in arbitration as a fast and effective way to resolve disputes away from the corridors of traditional courts.

Preventive justice and digital transformation

In another vein, Dr. Al-Samaani affirmed that the Ministry of Justice is moving forward with expanding the implementation of the "preventive justice" system. He noted that more than one million electronic contracts have been documented, benefiting over 1.2 million individuals. This substantial figure reflects the growing demand for preventive justice tools that safeguard rights before disputes arise, thereby enhancing contractual stability and supporting the business and investment environment in the Kingdom.

Economic and investment impact

Strengthening the commercial arbitration system has implications not only for the legal sphere but also for the economic realm. A robust and effective arbitration system is a key criterion for attracting foreign direct investment. International investors consistently seek an environment that guarantees swift litigation and flexible procedures, which the Kingdom has successfully achieved through these structural reforms, thus reinforcing its position as a regional and international hub for commercial arbitration.

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