Latest news with #Kafala
Time of India
2 days ago
- Time of India
Major changes in Saudi Arabia: Everything you need to know about overstay rules and Absher platform
Saudi Arabia is using advanced AI and its Absher platform to track visit visa overstays, holding both expats and employers accountable with heavy fines/Representative Image TL;DR: Saudi Arabia introduced a 30-day grace period effective June 26 for expired visit visas this is a major shift from older 90‑day fines. Failure to leave within this window still triggers severe consequences: fines up to SAR 50,000, imprisonment up to 6 months, deportation, and multi-year bans. At the same time, skill-based employment visas are being introduced marking a move away from Kafala sponsorship dependency. Travellers and expats must stay informed via official platforms like Absher and Jawazat to stay compliant. A Graceful Shift: 30-Day Exit Window Introduced In late June 2025, Saudi Arabia's General Directorate of Passports (Jawazat) unveiled a groundbreaking policy, visit visa holders whose visas expire can now request a 30-day exit permit via the Absher platform and its Tawasul service. After paying any outstanding fines, this grant allows legal departure without punishment. Previously, overstayers faced immediate fines or arrest. This policy signals a new approach: balancing enforcement with flexibility for those delayed by travel issues, health concerns, or emergencies . What Still Can Go Wrong? Harsh Penalties for Overstay Exiting under the grace period is crucial. Overstaying beyond 30 days results in harsh penalties: Fines: Up to SAR 50,000 (~USD 13,000) Possible jail time: Up to 6 months Deportation and entry bans Sponsor/agency penalties: SAR 100,000 for those who fail to report overstayers Although intended for Hajj and Umrah peak periods, these rules now apply to any visit visa holder, year-round. Who Can and Cannot Use the 30-Day Exit Period Eligible individuals include holders of expired tourist, business, or family visit visas and Umrah visas—applicable once per person. Note the exceptions: No re-entry allowed during this period. The grace does not permit conversion or renewal within Saudi Arabia, only lawful exit is possible. The System behind the Change: Absher Platform The grace policy is part of an ongoing effort to digitize Saudi's immigration infrastructure: Integrated into the Absher platform Timely notifications via SMS/emails Option to pay all fines online Efficiency across consulates and embassies via digital records Security Meets Modernization Saudi Arabia's shift reflects a larger move under Vision 2030, using technology to streamline operations, reduce paperwork, and clamp down on irregular visa cases. Modernisation goals include: Improved border security by tracking who comes and goes, always up-to-date. Labor market regulation preventing illegal hiring and 'runaways.' Elimination of manual visa border abuses from forged documents to expired-visits. For expats and sponsors, this means compliance is real-time and transparent. by Taboola by Taboola Sponsored Links Sponsored Links Promoted Links Promoted Links You May Like Flexible MBA by SRM—Apply Now! SRM Online Apply Now Undo Now excuses like 'I did not know' won't hold water once Absher sends the alert. Overstaying Amid Broader Visa Reforms The exit window policy is not an isolated change. Saudi recently introduced skill-based visas, which: End employer-dependent Kafala sponsorship Prioritise qualifications and performance Allow expats freedom to change jobs and retain residency under new regulations Together, these reforms present a Saudi Arabia in transition, moving from rigid control toward flexible, skill-based mobility. How to Use the Exit Extension Properly Watch your visa expiry date closely. Access Absher → Tawasul service → Apply for extension within 30 days. Pay your exit fine and any administrative dues. Receive exit approval digitally. Exit the country before the 30-day window closes. Failure to comply will restore older penalties; fines, bans, and possible jail time. What These Reforms Mean for You Polite enforcement phase : Saudi is easing the path for honest travellers while still penalizing deliberate overstays. Global reputation boost : Streamlining visa processes and improving digital services reflects positively on Saudi Arabia's modernisation efforts. Increased attractiveness for tourists and businesses : Simpler stays and more flexibility can support Saudi's tourism growth. Saudi Arabia's new 30-day exit grace period, integrated with digital systems, marks a fresh and fairer approach to immigration. Pairing this with skill-based visa reforms signals readiness to shift from arbitrary control to a more transparent, performance-driven, and global profile. Still, this grace is not a loophole, time matters, and overstays bring serious consequences. As Saudi modernizes, staying informed and compliant will be vital for every visitor. Saudi Arabia is making visa compliance automatic and shared not only for visitors but also for those who manage their immigration status. By combining in Absher with stiff penalties, the government is sending a message. Sponsors and expats now share responsibility, and mistakes can be costly. FAQs Q: Can I stay beyond 90 days without a problem? Only if your visit visa was still valid. Overstaying beyond expiry even within 90 days of entry relies on the 30-day exit application. Q: What happens if I don't exit within 30 days? You may face fines up to SAR 50,000, jail up to six months, deportation, and likely a multi-year re-entry ban. Q: How many times can I use the exit extension? Only once per applicant, tied to their expired visa. Q: Can I re-enter Saudi with a new visa during the 30-day period? No. This window is strictly for exit only.
CairoScene
13-05-2025
- Sport
- CairoScene
El Shams Club Grants Equal Membership Rights to Kafala Children
El Shams Club becomes the first Egyptian sports club to offer equal membership rights to children under Kafala care. May 13, 2025 El Shams Club has announced that children under Kafala care will now enjoy equal membership rights, making it the first sports club in Egypt to implement such a policy. This initiative aims to integrate Kafala children into mainstream society, providing them with the same opportunities as other members. Kafala allows families to care for orphaned or abandoned children without granting them the family name or inheritance rights. While it provides a familial environment for the child, societal acceptance has been a challenge. El Shams Club's decision is hoped to become a significant move towards reducing the stigma associated with Kafala and promoting inclusivity.
Arab News
28-03-2025
- Business
- Arab News
Vision 2030: progress and impact on Saudi economy and society
Saudi Arabia launched Vision 2030 in 2016 as part of its plan to reduce oil reliance, and transform the economy and society. By answering five questions, the reform program's impact on government budgets, investments, the non-oil economy, and the social sector can be examined. 1. What effects does Vision 2030 have on the social sector, namely on employment and the skilled Saudi labor force? Since 2016, women's empowerment has been a key focus in social transformation, with the women's labor market participation increasing from 17.4 percent in 2017 to 36.2 percent at the end of 2024. This has more than doubled in just six years, and the unemployment rate for female workers is at an all-time low. The proportion of women in middle and senior management roles has also increased to 43 percent. The Kingdom is investing in upskilling its workforce through educational efforts and training programs, creating hospitality academies, and collaborating with global training institutions. EFG Hermes has established a $300 million Saudi Education Fund as part of Vision 2030, and initiatives such as the SME Development Bank and Kafala program help small enterprises obtain funding and reduce unemployment. As a result, the proportion of Saudis working in high-skilled occupations has increased from 32 percent in 2016 to over 40 percent. 2. How has the economy of non-oil industries emerged because of Vision 2030? The Kingdom has implemented policies to reduce its reliance on oil, primarily in infrastructure, tourism, and technology. The country is also diversifying its economy through government revenue diversification, such as VAT and other broad-based tax measures. The Kingdom is initiating over 5,000 projects (totalling more than $5 trillion) as part of an ambitious economic reform, investing in industry, tourism, sports, and clean and renewable energy. New residency programs have been introduced to attract top talent. The non-oil economy now makes up 52 percent of overall economic activity, with an anticipated 65 percent by the end of the decade. Industries driving this growth include manufacturing, construction, communication, finance and business, wholesale and retail trade, restaurants, hotels, and logistics and transportation. More importantly, tourism is one of the main industries supported by the non-oil economy, expanding at an average annual rate of 10 percent and making up 10.4 percent of gross domestic product. Due to strong regulatory compliance and rises in the VAT rate, non-oil revenue doubled in just four years. In 2024, non-oil exports reached a record $136 billion, and private sector investments totaled SR1.18 trillion ($480 billion). The country is also now closer to its target of increasing fixed capital formation to 30 percent of GDP. 3. In the context of Vision 2030, what major capital expenditures are expected to be made? Saudi Arabia plans to invest $1 trillion into six sectors by the end of the decade, including clean technology, metals and mining, transportation and logistics, and $870 billion of mega-projects, including the NEOM project. Non-oil sectors will receive 73 percent of the investment funding, while $235 billion will be allocated to clean energy, with $8.4 billion spent on building the largest green hydrogen manufacturing facility in the world. More specifically, over $800 billion has been committed to infrastructure development, with $206 billion for clean technology, $170 billion for mining and metals, and $150 billion for logistics and transportation. There is also a $147 billion investment in digital transformation, focusing on network capacity, particularly 5G and fiber-to-the-home additions. Upstream energy will be expanded through natural gas and oil capacity, while $100 billion has been set aside for downstream energy projects, including crude oil to chemicals and technology products. The Kingdom's Vision aims to grow its current initiatives and make significant capital commitments to new ones. 4. How are Vision 2030-related initiatives affecting governmental budgets, and how are they funded? Over the past three years, Saudi Arabia's budget spending has increased by 30 percent due to the Vision 2030 diversification program. The Kingdom is taking a cautious approach to managing the budget deficit, which is reflected in the current account's decline into the red in Q3 2024. The Saudi economy requires a Brent price of about $80/barrel to balance its current account, up from less than $55 in 2022. In 2025, Saudi Arabia plans to continue issuing debt, raising $17 billion in Eurobond debt last year, excluding syndicated loans. This year, the government must pay $6.6 billion to amortize Eurobond debt. The Saudi government has the capacity to take on a large amount of debt due to its moderate, affordable, and favorable structure. Foreign investments have grown from $7.4 billion to $29.7 billion, providing a buffer for the government's finances. Export activities are expected to rely heavily on biotechnology, artificial intelligence, the digital economy, and logistics services infrastructure to generate foreign currency cash to fund the Vision's initiatives. 5. How does the Kingdom intend to turn Vision 2030 into a triumph? The Vision 2030 approach in Saudi Arabia shares similarities with strategies used in Korea and Singapore, which have successfully escaped the middle-income trap. The government's expenditure plans are based on OPEC+ arrangements, ensuring stability in oil prices. Saudi Arabia is expected to make significant progress in strategic sectors, including financial services, real estate, utilities, renewables, metals, mining, consumer goods, retail, transportation, logistics, food and agriculture, construction, entertainment, leisure, sports, aerospace and defense, and telecom, media and technology. Furthermore, to ensure the success of the vision and transform the economy and society, the Kingdom has taken a proactive approach to managing returns on capital, investment expenditures, and successful implementation of reforms. For sure, Vision 2030 is a crucial plan for the economy's growth to ensure it is less reliant on the funding sources used in the past three decades, and serves as a launching pad for the country's future greatness. Dr. Yaseen Ghulam is associate professor of economics and director research at Al-Yamamah University, Riyadh.
Zawya
25-03-2025
- Business
- Zawya
Saudi SMEs throng to list on Nomu as they seek funding
A string of small and medium enterprises (SMEs) in Saudi Arabia has secured the kingdom's Capital Market Authority's approval this year to register and offer shares on the Nomu Parallel Market. Among the latest are WinVeston Saudi Equity Quant Fund, Rawabi Marketing International Company, Wajd Life Trading Co., and Afaq Al Arabiya for Transportation & Storage Co. Last week, Marketing Home Group Company, Qudra for Communications and Information Technology Co. and Hawyia Auctions Co. also won approvals to go ahead with a Nomu listing. One of the main aims of setting up the alternative market was to increase the number of listed companies in Saudi Arabia. Total capitalisation for Nomu as of end 2024 was at 58.86 billion riyals ($15.7 billion). This compares with SAR10.2 trillion for the main market. Nomu issuers can opt for direct listing and then sell shares on the exchange. The bourse saw 28 IPOs in 2024, while there three direct listings, according to the Saudi Exchange. 'Companies operating in the SME segment are encouraged to grow and are hence looking for financing and they are in turn resorting to both the debt (where the local banks are quite interested to provide support, especially under the government-sponsored Kafala programme) and the equity markets,' Sara Boutros, an analyst at CI Capital said. The Nomu market is underpinned by Saudi investors, who account for about 96% of the free float. Of this, retail investors hold around 65%. 'Investors are always on the hunt for new investment ideas and for the ones who are more flexible on criteria including size and traded values, Nomu offers some interesting stories. We have also seen several companies migrating to Tadawul after they satisfy the requirements; which is also quite appealing to potential investors,' said Boutros. In 2024, three companies transferred from the parallel market to the main, according to a bourse report. Meanwhile, Riyadh's main exchange has already seen four IPOs completed this year: Almoosa, Nice One, Derayah Financial, and Arabian Company for Agricultural and Industrial Investment (Entaj). The fifth, Umm Al Qura, a real estate developer, started trading on the main stock exchange on Monday. A 2025 outlook by Saudi brokerage Al Rajhi Capital estimates the kingdom could witness between 50 to 60 IPOs over the next two years, with seven already approved or closed, while 97 IPOs remain under review. (Reporting by Brinda Darasha; editing by Seban Scaria)
