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About Kingdom

Digital Transformation

Legal and Regulatory Framework

Digital Government Legislation

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The Kingdom of Saudi Arabia has adopted a comprehensive legal framework to support the digital transformation of public service production and delivery. This legal framework is fully aligned with global trends and ensures the availability of the eGovernment key enablers. The current legal framework enables the establishment of the Digital Identity (eID), Digital Signature and Public Key Infrastructure (PKI), which can be used for both public and private sector services. This is supported by the adoption of the Electronic Transactions Law, Telecommunications Act and the E-Commerce Law. Digital transformation in Saudi Arabia also increased government transparency and budget spending through electronic procurements and the mandatory publishment of the annual government budgets and expenditures (general and by entities).

Electronic Identification (eID)

Civil Affairs Law

The Civil Affairs Law and its implementing regulations oblige all citizens and residents in Saudi Arabia aged fifteen years old and over to have a valid National Identity Card (ID), which also contains a chip with a digital signature. The ID card contains biometric and digital information, such as an image of a citizen’s face, fingerprints, and demographics. The ID card includes a barcode plus an optical stripe to enhance security and prevent identity theft. The ID card also offers a digital signature through a secure application enabled by a citizen ID card. The card can also be securely stored and digitalized (including residency permit (iqama), driving license, and vehicle registration (E stimara) through the ‘Absher individuals’ application.

Electronic Transactions Law

The Electronic Transactions Law and its implementing regulations set the legal basis for using and validating electronic identification (eID) and electronic signatures (e-signatures) for all electronic transactions.
According to the Law, electronic transactions, records and signatures shall be binding, and their validity or enforceability may not be denied or prevented from being executed because they were made in whole or in part electronically, provided that such transactions, records and electronic signatures shall be carried out in accordance with the conditions stipulated in the law. An electronic transaction or electronic signature shall be accepted as evidence if its electronic record meets the requirements of the provisions of the Law.

Electronic Signatures and Public Key Infrastructure (PKI)

Electronic Transactions Act

The Electronic Transactions Act and its Implementing Regulations provide a comprehensive legal framework to regulate and facilitate the use of electronic transactions and signatures. This framework ensures that electronic signatures are given the same legal standing as handwritten signatures, provided they meet specific requirements. The key objectives and provisions of the act include:

Uniform Legal Standards: The act sets consistent legal standards for the use of electronic transactions and signatures. This uniformity ensures that electronic records are reliable and can be used effectively in both private and public sectors.
Ensuring Credibility and Integrity: To maintain trust in electronic transactions, the act includes provisions to ensure the credibility and integrity of electronic signatures and records. This helps build users' confidence regarding the authenticity and security of their electronic interactions.
Facilitation of Electronic Transactions: The act aims to facilitate the use of electronic transactions and signatures across various sectors, including government, commerce, medicine, education, and electronic payments. By doing so, it promotes efficiency and convenience in conducting transactions electronically both domestically and internationally.
Removal of Obstacles: Recognizing the barriers that may hinder the adoption of electronic transactions, the act provides measures to remove these obstacles. This includes addressing legal, technical, and practical challenges to ensure seamless implementation.
Fraud Prevention: To safeguard against misuse and fraud, the act includes stringent measures to protect electronic transactions and signatures. These measures help prevent fraudulent activities and ensure electronic transactions are conducted securely.

The law provided the legal basis for the Digital Government Authority (DGA) to adopt the necessary regulations and controls, and the Digital Government Authority is responsible for issuing licenses to certification authorities. According to the regulations, the licensed certifications services provider has to:

Obtain the necessary license from DGA before starting to practice its activity.
Issue digital certificates, delivering and preserving them in accordance with the license issued by the Authority and the controls and procedures specified by the regulation.
Use reliable means of issuing, delivering and preserving certificates and take the necessary means to protect the certificates from forgery, fraud and damage in accordance with what is specified in the regulation and the license.
Establish a database of the issued certificates, save such data and any amendments thereto, including suspended and cancelled certificates, and provide electronic access to such data on an ongoing basis.
Maintain the confidentiality of the information obtained by reason of the activity, except for information that the certificate holder has allowed in writing or electronically to be published or informed or in the cases provided for by law.
Collect personal information directly from the applicant or others while obtaining the written consent from the certificate’s applicant.
Issue certificates, including the data described in the regulation, in conformity with the conditions of security and protection of systems, the rules of regulations and their protection, and the rules of the digital certification certificate set by the National Information Center (NIC).
Deliver the information and documents in his possession to DGA in all cases of suspension of the activity to be disposed of in accordance with the provisions and standards described in the Regulations.

Digital Government Authority is responsible for approving digital certificates issued by foreign entities outside the country, ensuring them equal legal validity as domestic ones, in accordance with the controls and procedures specified by the regulations.

Saudi National Digital Identity Management

is a national initiative of the National Information Center of the Kingdom of Saudi Arabia to issue and manage citizens' and residents’ digital identities similar to the physical ones. The goal is to define the National Digital Identity Strategy governing digital identities and reinforce it with robust implementation presented as a service.
Accordingly, MOI/NIC has expanded its physical identity infrastructure and created a national digital identity system that intends to have a highly secure, trusted, and reliable identity platform that boosts confidence in online services across Saudi Arabia and GCC.

The platform is targeting 60 million users and offers:

Self-Service Registration,
Online Identification & Authentication of end-users,
Automated Federation with respect to Authentication Level,
Online Transactions PKI Signing and Validation.
Self-Service Credentials Management,
Online Service Providers Onboarding,
Online physical IDCard Post Issuance,
User Identity Validation and Provisioning,

Electronic Communication

The Telecommunications Act aims to develop the ICT sector in a way that would increase the efficiency of its services and develop its infrastructure, promote digital transformation, stimulate the use of ICT services, make use of them in all areas, promote innovation, entrepreneurship, research and technical development in the ICT sector. This act also aims to develop subsectors and emerging technologies, introduce new ICT services, protect the user and his interests, and raise his level of confidence by providing secure and reliable ICT services, protecting against malicious content and keeping communications confidential.

For more information, please visit the websites of the Ministry of Communications and Information (MCIT) or the Communications, Space & Technology Commission (CST).

Electronic Commerce

The E-Commerce Law and its Implementing Regulations aim to increase confidence in eCommerce transactions, provide consumers with the necessary protection against fraud and misinformation and shall boost and develop e-commerce activities in KSA. Its objective is to regulate commercial transactions between eCommerce businesses and consumers and applies to businesses that are established in KSA and operate eCommerce businesses or online marketplaces selling goods or services to consumers in KSA as a Trader, as well as businesses that are established outside of KSA and provide goods or services to consumers within KSA using an eCommerce platform as Practitioner. The Law defines commercial activities, key website terms and conditions, digital advertisements, data protection, intellectual property, consumer rights, payments, and penalties.

For more information, please visit the Ministry of Commerce website.

Electronic Procurements

The Government Tenders and Procurement Law and it's implementing regulations regulate the government tenders and procurement processes and prevent them from being influenced by personal interests in protecting public funds. The aim is to achieve maximum economic self-sufficiency for procuring government purchases and completing its projects at fair and competitive prices, enhancing integrity, transparency, and competitiveness, and ensuring proper treatment of contractors, ensuring equal opportunity. The Law set up the basis for the electronic procurement system, also known as the Etimad portal, which consolidates and facilitates government procurement for all government sectors.

For more information, please visit the Ministry of Finance website or the Etimad portal.

Government Budget Transparency (Government Spendings)

The Kingdom's budget is subject to legislative and regulatory scrutiny and is based on the regime. The Basic Statute of Governance, Annual laws for budget approvals and the Government Tenders and Procurement Law require all government entities to apply the principles of budgetary governance, including open, transparent and accessible budget documents. To ensure government spending transparency, each government entity must submit quarterly and annual reports to the Ministry of Finance. Following the reports of the government entities, the Ministry of Finance is legally obliged to publish quarterly financial performance reports on the execution of the budget, along with final annual account summaries in the detailed annual reports of expenses and revenues. As a result of the legal obligations, the Ministry of Finance publishes the approved annual budgets (Budget Statements) and the annual budget reports (Budget Performance Reports).

Also, the Etimad portal plays a significant role in increasing transparency and raising the efficiency of expenditure for its users, such as government and supervisory entities, contractors, suppliers, vendors, etc. All government entities are obliged to use the platform for procurements of services, goods, works, and payments.

For more information, please visit the Ministry of Finance website or the Etimad portal.