New legislation to authorize the Saudi Arabian Monetary Agency (Sama) to supervise the licensing and organization of cooperative insurance companies in Saudi Arabia will come into effect on November 20 2003. At present, insurance is an area of the Saudi Arabian economy in which foreign investment is forbidden. It is widely believed, however, that with the passage of the Insurance Law, it will soon become permissible for foreigners to invest in the industry in Saudi Arabia.
September 30 2003