The terms and expressions mentioned in the regulation have the same meaning as defined in the law, and the terms not mentioned in the law have the meanings specified for each in the regulation:

1. Law: Law of Service Providers for Pilgrims from Abroad issued by Royal Decree No. (M/111) dated 17/09/1440 AH.

2. Companies Law: Companies Law issued by Royal Decree No. (M/3) dated 28/01/1437 AH and its implementing regulations and any subsequent amendments.

3. Quantitative and Qualitative Classification Guide: The guide issued by the ministry according to the law to determine the services provided by the Tawafa companies and service providing companies.

4. Licensing Conditions for Service Providing Companies: The conditions issued by the ministry to regulate the licensing process of service providing companies under the law, and to establish monitoring and evaluation mechanisms for the purpose of license renewal.

5. Treasury Shares: The shares retained by the Tawafa companies according to their basic system, including shares allocated to employees and beneficiaries if any.

6. Beneficiary: A person who does not hold Saudi Arabian nationality, and who was allocated shares in any of the Tawafa institutions before the transformation or to whom the benefit of the shares devolved after the transformation to Tawafa companies by inheritance according to the mechanism specified in this regulation.

7. Shareholder: Every citizen who was allocated shares in the Tawafa institutions before the transformation.

8. Subsidiary Service Providing Company: A service providing company that is a subsidiary of the Tawafa company and owned by it with a controlling interest, which provides services directly to pilgrims according to the classification and description of service levels approved by the ministry.

9. Pilgrim Representative: Pilgrim Affairs Office and external agencies.

10. Platform: It is the electronic platform or platforms approved by the ministry.

11. Pilgrim Affairs Office: It is the entity responsible for arranging and organizing the affairs of pilgrims coming from the state to which it belongs.

12. External Agencies: It is the entity responsible for organizing and arranging pilgrim trips.

13. Services: The service or service packages provided by the service providing companies to the pilgrims.

14. Regulation: The Implementing Regulation of the Law of Service Providers for Pilgrims from Abroad.

In accordance with the provisions of the Law, the Ministry is responsible for the following:

1. Supervising the companies of service providers.

2. Supervising service provision companies and granting licenses to them.

3. Working to enhance the efficiency of employees in service provider companies and service provision companies.

4. Achieving all the objectives of the Law and making all decisions necessary for the implementation of the Law and the Regulation.

First: The Articles of Association for the Companies of Pilgrimage Service Providers shall be prepared in accordance with the provisions of the Companies Law and the Law of Service Providers for Foreign Pilgrims.

Second: Each company must notify the Ministry when amending its Articles of Association to ensure that it does not include anything that contradicts the law and the regulation.

Third: With due regard to what is stated in the Articles of Association for the Companies of Pilgrimage Service Providers:

• 1. The Board of Directors shall form the Executive Committee, and it shall represent it in the case of the permanent meeting as stipulated in the law.

• 2. The Company of Pilgrimage Service Providers must ensure that all members of its Board of Directors, its Chief Executive Officer, the Chief Financial Officer, the Chief Information Officer, and the Chief Human Resources Officer are Saudi nationals.

1. Shareholders in the Guild Companies are prohibited from selling or trading their shares during the first two years from the establishment of the Guild Companies.

2. Shareholders in the Guild Companies may trade their owned shares after two years from their establishment, provided that the trading occurs among the shareholders of the same company.

1. Any sale of shares to non-citizens is null and void.

2. Any sale of shares or waiver of shares to non-shareholders is null and void before the offering of the relevant guild company for trading.

3. Any pledge of shares before the offering is null and void.

First: The shares of the beneficiaries shall be processed regardless of the trading prohibition period as follows:

• 1. The Company of the Guilds shall purchase the shares at their market value and pay this value to the beneficiary, and these shares shall be converted into treasury shares.

• 2. The sale or gift of shares in the Company of the Guilds shall be to the beneficiary's relatives who are citizens and shareholders in the company, with the right granted to first-degree relatives, then second-degree relatives, and so on, followed by the remaining shareholders, according to the market value of the shares. In the event of the beneficiary's death before this, the shares shall be inherited according to the provisions of Sharia, and the citizen heirs shall own their share of the shares. As for non-citizens, their share of the shares shall be sold to the citizen shareholders in the company according to the above order, or purchased by the company as stated in paragraph (1) of this article, and the value of the shares shall be inherited to them.

Second: In the event of the beneficiary's death and there are no heirs, the shares shall be purchased by the company, and their value shall be disposed of in accordance with the applicable regulations.

Third: The company may, if it purchases the shares from the beneficiary during the prohibition period and before the company is offered for trading, directly offer these shares to the shareholders in the company at the purchase price plus (20%) of the purchase value.

Fourth: The Company of the Guilds shall determine the mechanism for communication with the beneficiary and the mechanism for the purchase and sale of shares in accordance with its bylaws and governance regulations.

First: The Ministry shall establish a guide for the quantitative and qualitative classification of services, which shall include the following:

• 1. The basic standards for the level of service delivery.

• 2. Service descriptions.

• 3. Contracting mechanisms. 

• 4. Components of service packages.

• 5. Service pricing mechanism.

• 6. Guarantees for service delivery.

• 7. Any other matters that the Ministry deems to fall under the quantitative and qualitative classification and pricing mechanism.

Second: The Ministry shall review the guide for the quantitative and qualitative classification annually to work on its development.