Saudi Finance Ministry to receive contractor claims over payments soon

Saudi Ministry of Finance will likely start to receive claims of the construction companies over their financial payments soon, Okaz newspaper has reported, citing chairman of the Saudi Contractors Authority (SCA), Osama Al Afaleq.

SCA held meetings with the finance ministry to set up a mechanism to pay these dues over the coming period, Al Afaleq added.

“An electronic platform will be set up to receive these claims,” he noted, adding that higher costs weighed on construction companies, as they either raise the raw materials costs or labor fees.

In 2017, King Salman issued a royal decree, approving the allocation of SAR 72 billion to stimulate the private sector, which included SAR 7 billion worth of government fees refunding initiative for small and medium enterprises (SMEs).