Minister of Commerce: Anti-Commercial Concealment Decree Establishes a New Phase of Transparency and Justice in the Business Environment

Minister of Commerce and Industry Osama Al-Boudi affirmed that the issuance of the decree-law on combating commercial concealment represents a qualitative legislative leap in the country’s economic development journey, embodying the state’s orientation toward entrenching transparency in economic activities to enhance fair competition.

Speaking to KUNA, Minister Al-Boudi stated that the decree protects the national economy and ensures that state benefits reach those who meet the eligibility criteria. He clarified that the philosophy behind the decree-law goes beyond combating traditional forms of commercial concealment; it is based on entrenching the principle of disclosing the beneficial owner of commercial activities, thereby ensuring equal opportunities and protecting those who comply with the law from illegal practices.

He added that practical experiences over the past years revealed practices that exploited privileges and benefits designated to support small and medium-sized enterprises and other activities by hiding the beneficial owner or using third-party names. He pointed out that this deprived rightful beneficiaries of their opportunities, and its impact extended further to weakening the willingness of others to enter the market, as they perceived competition as pre-determined for non-compliant entities. This, in turn, negatively affected the renewal and diversification of economic activity.

Minister Al-Boudi noted that the primary beneficiary of this legislation is every compliant entity bearing the cost of its compliance. He emphasized that its impact is not limited to economic actors alone; a market where the true owner of the activity is known is a fairer market for all—whether for young men and women seeking legitimate opportunities, or for society, as resources and benefits reach their intended targets.

He added, “The impact of this legislative framework is not lost on the consumer.” He explained that clarity regarding the identity of the business owner is the foundation of trust in transactions, making the enforcement of rights, handling complaints, and ensuring product and service quality easier and more stable. Conversely, the absence of such clarity confuses consumers and prolongs the resolution of their legitimate rights.

He stressed that the decree-law does not target a specific group nor discriminate between individuals; rather, it applies to anyone who violates its provisions, regardless of their status or nationality, within a comprehensive legal framework that defines prohibited acts and outlines the responsibilities of all parties involved, including those who participate in, facilitate, enable, or benefit from such violations. It also grants competent authorities the necessary regulatory powers, in accordance with the safeguards stipulated by the law.

He indicated that the Ministry will issue the necessary decisions to implement the decree-law’s provisions, ensuring procedural clarity, unifying implementation mechanisms, and facilitating compliance, while considering business environment stability and supporting legitimate activities.

Minister Al-Boudi explained that the upcoming phase presents an opportunity to review and rectify existing situations, noting that addressing any current status quo is easier than dealing with it after implementation begins. He added that the development of digital systems, data integration, and cooperation among relevant authorities contribute to a more complete and clear picture of commercial activities at each stage of implementation.

He noted that the Ministry of Commerce has made its advisory services available to anyone wishing to inquire about the decree-law’s provisions and review their status in light of them. He reaffirmed that market integrity affects every individual in society and that the Ministry welcomes feedback through its available communication channels.

He highlighted that the Ministry is proceeding with implementing the tasks entrusted to it by the decree-law, emphasizing that entrenching transparency is a regulatory effort supported by societal awareness, which begins with individuals recognizing that lending one’s name or license is not a facilitation for anyone but rather a forfeiture of an opportunity belonging to someone else.

The Minister of Commerce and Industry stated that this legislation does not aim to restrict economic activity but to establish a business environment where success is based on competence and compliance. He pointed out that the Ministry will work in partnership with government entities and the private sector to implement its provisions, thereby enhancing investor confidence, safeguarding state support and benefits for their intended purposes, and giving those starting new activities today the assurance that opportunities are available on an equal footing, thus consolidating a national economy where status is measured by achievement, not by name.