More worries for expats in Saudi as govt to impose monthly fee

JEDDAH: Expats living in Saudi Arabia better be ready as the Kingdom budget for 2017-2020 will bring new and unexpected changes.

According to Arab News, Saudi Arabia has proposed to introduce monthly fee structure for expats and their dependents residing in the Kingdom.

The move announced by the Finance Minister Mohammed Al-Jadaan while presenting the 2017-2020 budget.

The new rule will be effective from July 2017.

The fee will be collected at the Jawazat (department of passports) at the time of Iqama (residence permit) renewal.

Image Courtesy: Saudi Gazette

So as a person residing in the Kingdom, you should know the following:

For the Year 2017:

Expatriates have to pay a fee of 100 Saudi Riyals on a monthly basis, for every dependent or sponsored person.

For the Year 2018:

• Expatriates have to pay a fee of SR 200 monthly on each and every from July 2018 onwards.

• In companies, if the numbers of expatriates equals or less than Saudis, 300 Saudi Riyals monthly fee on each employee will be apply from January onwards.

• It will be raised to SR 400 if the foreign employees outnumber Saudis.

For the Year 2019:

• Expatriates have to pay a fee of SR 300 monthly on each and every from July onwards.

• In companies, if the numbers of expatriates equals or less than Saudis, SR 500 monthly fee on each employee will be apply from January onwards.

• It will be raised to SR 600 if the foreign employees outnumber Saudis.

For the Year 2020:

• Expatriates have to pay a fee of SR 400 monthly per head from July onwards.

• In companies, if the numbers of expatriates equals or less than Saudis citizen employees, SR 700 monthly fee on each employee will be apply from January onwards.

• It will be raised to SR 800 if the foreign employees outnumber Saudis citizen employees.

The Finance Minister said that the drivers, cleaning and domestic workers are exempted from the planned fees.

The move, if implemented, will be a major setback for the expats and will be forced to send their families back to home countries.