Saudi Arabia unveils first cinema licensing regulations

The Saudi Ministry of Culture and Information on Thursday said it has finalised the licensing terms for cinemas in the Kingdom.

The regulations will cover three types of licences: cinema venue development, exhibitor, and cinema venue operating, it said in a statement on Thursday.

The ministry added that it had studied and evaluated best practices regarding cinema regulation in several international markets and held extensive discussions with relevant Saudi governmental authorities.

“Our Vision 2030 aims to provide shared experiences for Saudi families, which will drive our cultural economy and see an increase in families' spending on cultural and recreational activities from 2.9 percent to 6 percent by 2030,” Dr Awwad Alawwad, minister of culture and information, said in the statement.

"The restoration of cinema will be an important lever to reach this goal, stimulating economic growth and diversification, creating more jobs and enriching the entertainment options here in Saudi Arabia, the largest such market in the region,” he added.

The move, part of the Vision 2030 initiative, will open up more than 350 cinemas, with over 2,500 screens until 2030, for a domestic audience of over 32 million people.

In December last year, Saudi Arabia lifted a 35-year ban on cinemas, as part of broader reforms in the Kingdom.

Shortly thereafter, US-based AMC Entertainment signed a Memorandum of Understanding (MoU) with the Kingdom’s Public Investment Fund, to operate cinemas by end-2018.

Last month, UK's Vue International inked a MoU with Abdulmohsin Al Hokair Holding Group to explore the construction and operation of multiplex cinemas.