The KSA Bankruptcy Law

The Saudi Arabian Bankruptcy Law was introduced in 2018 to provide guidance with respect to the adoption and implementation of bankruptcy proceedings. The key aim of the Bankruptcy Law, despite the connotation of the name, is to rescue insolvent businesses through reorganisation and financial restructuring.

In light of economic challenges over the past decade, the Kingdom’s vision to diversify non-oil revenues and aim to attract foreign investments, this law offers corporates a legal platform to facilitate the implementation of restructuring procedures, while ensuring that creditors’ rights are preserved and creditors are treated fairly.

Based on Deloitte’s experience in dealing with bankruptcy cases under the Saudi Arabian Bankruptcy Law, this updated paper outlines the major bankruptcy proceedings and key considerations around adopting and implementing these procedures.

Download the report to learn more about the implementation mechanisms of bankruptcy proceedings governed by the law, the key roles and responsibilities of the major stakeholders within a bankruptcy procedure, and some key practical considerations and answers to frequently asked questions.