The General Authority for Military Industries (GAMI) announces new facilities for companies investing and operating in the Sector to face the challenges presented by COVID-19

GAMI announced various facilitation initiatives for the companies investing and operating in the Sector. These initiatives intend to support the Sector in the Kingdom and maintain momentum with the tremendous efforts made by the country to combat COVID-19 and decrease its potential financial and economic impacts. Through implementing the royal order issued regarding the establishment of incentives and initiatives aimed at relieving the economic and development effects on the private sector concerning the consequences of the virus and the actions taken to reduce its spread.

The Authority announced a package of facilities related to the procedures for issuance of licenses to practice military industries activities in the Kingdom, fees associated with the issuance of permits to practice industrial and military activities, as well as licenses for providing military services, until Muharram 13, 1442, "September 1, 2020 ".

The Authority has also announced extending the period for correcting companies’ status to achieve the requirements of the Authority from the date of Muharram 21, 1442 "September 9, 2020 " until the date of Jumada Al-Uola 16, 1442 "December 31, 2020 ". Also, extending the period of response to all the Authority's observations through the licensing portal that was limited to 14 days to become open until Dhu al-Qi'dah 9, 1441 "June 30, 2020 ".

The initiatives announced by the Ministry of Industry and Mineral Resources to stimulate investors in the industrial sector, emerged from GAMI’s keenness to empower and regulate the mechanisms for issuing military industrial licenses in the Kingdom. This is part of its endeavor to develop a sustainable sector in Saudi Arabia, thereby contributing to strengthening its strategic autonomy in this field in addition to strengthening the foundations of its national security and supporting its economic and social prosperity.

In the context of its efforts to reduce the consequences of the pandemic, the Kingdom launched an array of urgent projects worth in excess of SAR 120 billion to accommodate the necessary financial requirements in implementing precautionary measures, including supporting the private sector, empowering it to play its role in advancing economic growth and facing the financial and economic impacts of COVID-19.

Previously, GAMI published a circular for all institutions and companies serving in the Defense Sector. On this circular, the Authority emphasized taking all the preventive and precautionary measures that would contribute to combating the spread of COVID-19 and furthermore to preserve the safety of all citizens, residents, and workers in this Sector. It also stipulated that working remotely is to be at the discretion of each entity such that it does not affect its operational processes. What is important is adherence to policies and procedures for cybersecurity and remote communication to maintain the confidentiality of information.