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Green Card in Saudi Arabia

 

iiiiiiiiiiiiiiiiiiBy Advocate Md Halim Bepari, London

Introduction:

Green Card is a lawful officially granted permanent resident. A Green Card holder is someone who has been granted authorization to live and work in the Country. As proof of that status, a person is granted a permanent resident card, commonly called a “Green Card.”Green Card called ‘Carta di Soggiorno’ in European Countries. Green Card called ‘Alien Registration, in Japan.

Saudi Green Cards:

THE “green card”  Master plan disclosed by Deputy Crown Prince Muhammad Bin Salman, second deputy premier and minister of defense, in an interview with Bloomberg, has been welcomed by many expatriates. The residency system for 11 million expatriates in the country.

The Green Card categories would be:

Green Card through Investment

Green Card through high skilled employment

Green Card through finical & social contribution

Green Card through Family

Green Card through Refugee or Asylum

Others

Green Card Eligibility: who can apply for permanent residence?

The “Green Card Processes & Procedures” section provides additional information on:

Green Card holder:

Renewing or replacing your Green Card

Removing conditions on a Green Card

Travel outside the Kingdom

Rights and responsibilities of Green Card holders

Aim of Green Card:

The plan will help expatriates ease away from the tight hold of sponsors, many of whom have been exploiting both white and blue-collar workers. Though the modalities of how to attain this “green card” needs to be framed carefully, there are essentials that the future card holders will be required to do or get once obtaining the card. They’ll have to pay zakat and value added tax, and they can own property and undertake commercial, industrial and other related activities.

The plan was welcomed by UK, EU, USA community and multi cultural society expatriates specially ’who have been in the country for long living and whose children were born and bred in the Saudi Arabia.

Benefits of the Green Card:

  1. The Kafal system will come to an end and Expatriates would now become their own sponsor.
  2. Green card holder would get permanent residency.
  3. All Green Card holders can engage in any business in the kingdom.
  4. The Green card holders will get free medical treatment like as Saudi Nationals.
  5. All green card holders receive a pension upon their retirement, if they pay the insurance GOSI.
  6. The green card holders will eligible for financial loan
  7. They would be allowed to buy property in the kingdom.

 

Green Card holder has Restriction:

 

  1. Green card holding expatriates would not be able to vote in election.
  2. Green card holder not able to hold any public office position in the kingdom of Saudi Arabia.
  3. They would not be able to stay long period outside of the kingdom.
  4. They would not be allowed to enlist in the Saudi Armed Forces.

 

Economical Goal:

The financial stability and economical goal is the main target of the green card program.The Green Card-like as a program to generate money for financial stability of Kingdom and a plan to allow employers to hire more foreign workers above their official quotas for a fee could generate $10 billion a year each. Kingdom will be financial establish of source of income from the business and industries non Oil Income.

Non oil Revenue Boots Plan:

The VAT will bring in about $10 billion a year by 2020, while the “restructuring of subsidies” will generate more than $30 billion a year, said Prince Mohammed, who appeared at ease discussing technical details and figures of his various plans.

 

The government create jobs market and subsidies typically greased the wheels of the economy. Youth manpower unemployment is among the highest in the world and economic growth is set to very slow to 1.5 percent this year, the worst since at least 2009, according to a Bloomberg survey of economists.

There are currently no income taxes in Saudi Arabia. The government started raising the prices of fuel and utilities at the end of last year, including a move to raise those for gasoline by a minimum of 50 percent. That brought the price to the equivalent of 26 U.S. cents a liter at the end of March, the second-cheapest in the world after Kuwait, according to globalpetrolprices.com, which provides data and analysis on transport fuels.

Challenge of the Economy:

Prince Mohammed is King Salman’s son and second-in-line to the throne. Prince Mohammed has consolidated more authority than anyone in his position since the kingdom was established in 1932. As defence minister, he leads the military effort. He also oversees ministries including finance, oil and the economy through the Council for Economic and Development Affairs. The council, which was established after his father became king, also controls the Public Investment Fund.

Deficit Cutting

The prince said measures taken by the council last year succeeded in lowering the budget deficit “which could have reached $250 billion to less than $100 billion.”

The government a decision to delay payments to contractors last year was aimed at “trying to avoid a bigger danger” after discovering that ministries and government bodies could authorize spending of more than $1 trillion based on “decrees over the last few years.”

Kingdom actually don’t need the money but want to prepare for the future to make sure that when kingdom actually go to the markets and that time really need the money, the markets, the investors, the financial institutions already known,” Many tactics have to be improvised in order that a total strategic plan is evolved for competing in a highly competitive and fierce business environment.  The “green card” plan is one of them.

Conclusion:
Multi business activities will be start according to new regulations in the kingdom.
The main aim was to ensure that there were jobs for Saudis, that would help boost the country’s economy. The plans were being implemented with the private sector, Human Resources Development Fund, Technical and Vocational Training Corporation and General Organization for Social Insurance, professional development training.
“Government should prioritize jobs for our children, men and women.”
“Kingdom are facing some challenges but these could be overcome through cooperation with the ministry. The government is a partner in the search for the most effective mechanisms and means to enhance employment opportunities for citizens,” Kingdom will achieve financial benefit.

Reference:

  1. Daily news paper
  2. Arab news paper
  3. Law Journal
  4. International Journal