Saudi Arabia Saudization Updates: Qiwa Contract Documentation Impacts Nitaqat Calculations

Nitaqat is a nationalization (Saudization) program put in place by the Ministry of Human Resources and Social Development (MHRSD) that requires establishments operating in Saudi Arabia to hire a certain number of Saudi nationals into their workforce.

The Nitaqat program classifies establishments into five categories: Platinum, High Green, Mid Green, Low Green, and Red, based on the nationalization percentage (% of Saudi employees) and the total number of employees. The nationalization percentage calculation differs depending on the establishment’s industry and the size of the establishment based on the number of total employees.

Saudization requires employment contracts documented on the Qiwa platform

The Ministry of Human Resources and Social Development (MHRSD) has announced that, effective April 15, 2026, the calculation of Saudization rates is based on the contracts of Saudi employees being documented electronically through the “Qiwa” platform.

A company’s Saudization calculation can no longer include any Saudi national workers whose employment contracts are not documented on Qiwa.

Meanwhile, MHRSD has also updated the targets for documenting employment contracts on Qiwa. The target commitment rate has been increased to 85% by April 30, 2026, and to 90% by June 30, 2026.

The Ministry calls on all establishments to start reviewing undocumented employment contracts and completing documentation procedures through the Qiwa platform, in order to avoid any difficulties that may affect the benefit of services related to compliance indicators.

Saudization of tourism professions begins

On April 22, 2026, the Ministry of Human Resources and Social Development (MHRSD), in partnership with the Ministry of Tourism, announced the start of the implementation of the first phase of the decision to localize 28 professions in the tourism sector after the expiration of the grace period specified in the decision.

The first stage includes the Saudization of a number of professions by 100%, namely: receptionist, hotel receptionist, central staff, information writer.

This stage also includes the localization of twelve professions in the sector by 70%, most notably: Director of Hotel Control, Hotel Control Specialist, Tourist Guidance Specialist, Procurement Specialist, Sales Specialist, and twelve other professions with a 50% Emiratization rate, most notably: Tourism Development Specialist, Procurement Representative, Tourist Agent, Hotel Specialist.

MHRSD has published a procedural manual which clarifies all the details of the decision, the professions and the required ratios on its website.

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