Decision No. (436) dated 06/06/1445 AH

The Council of Ministers

After reviewing in its session chaired by the Custodian of the Two Holy Mosques King Salman bin Abdulaziz Al Saud, the correspondence received from the Royal Court No. 58490 dated 25/8/1444 AH, including the telegram of His Excellency the Minister of Human Resources and Social Development, Chairman of the Preparatory Committee for the Administrative Statute No. 132548 dated 22/8/1444 AH, regarding the draft organizational arrangements for the Saudi Authority for Games and Electronic Sports.

After reviewing the aforementioned draft organizational arrangements.

After reviewing the strategy of the Games and Electronic Sports sector, issued by Council of Ministers Decision No. (110) dated 10/2/1444 AH.

After reviewing memoranda No. (1689) dated 2/6/1444 AH, No. (3585) dated 18/11/1444 AH, and No. (602) dated 22/2/1445 AH, prepared by the Bureau of Experts at the Council of Ministers.

After reviewing the recommendation prepared by the Council of Economic and Development Affairs No. (16-45/14/D) dated 6/4/1445 AH.

After reviewing the recommendation of the General Committee of the Council of Ministers No. (4511) dated 29/4/1445 AH.

It is decided as follows:

• First: To establish an authority named (Saudi Authority for Games and Electronic Sports), in accordance with its organizational arrangements attached to this decision.

• Second: The entities exercising competencies related to the Games and Electronic Sports sector - which fall under the Saudi Authority for Games and Electronic Sports according to its organizational arrangements referred to in item (First) of this decision - shall continue to exercise their competencies in coordination with the Saudi Authority for Games and Electronic Sports, until the Authority assumes those competencies. Thereafter, the Authority shall oversee the work of those entities and report on matters requiring action.

• Third: The exercise of the authority of the Board of Directors of the Saudi Authority for Games and Electronic Sports - as stated in paragraph (9) of item (Sixth) of the organizational arrangements referred to in item (First) of this decision - shall be in agreement with the Ministry of Finance and the Non-Oil Revenues Development Center, until the issuance and implementation of the (Regulation on the Practice of Public Authorities and Institutions and Equivalent Entities Imposing Fees for Services and Works Provided).

• Fourth: Exceptionally from the provision of paragraph (2) of item (Twelfth) of the organizational arrangements of the Saudi Authority for Games and Electronic Sports, the first fiscal year of the Saudi Authority for Games and Electronic Sports shall commence from the date of implementation of its organizational arrangements and end at the end of the fiscal year (1449/1448 AH) (2027 AD).

• Fifth: The Board of Directors of the Saudi Authority for Games and Electronic Sports shall prepare a draft regulation for the Authority in light of what is stated in the organizational arrangements referred to in item (First) of this decision, and any other matters that may arise in this regard. The draft regulation shall include defining the relationship between the Authority and the relevant government entities in the Games and Electronic Sports sector, and the draft shall be submitted within a period not exceeding twelve (12) months from the date of this decision.

Salman bin Abdulaziz Al Saud

The words and phrases listed below - wherever they appear in these arrangements - shall have the meanings specified next to each, unless the context requires otherwise:

The Authority: The Saudi Authority for Games and Electronic Sports.

The Arrangements: The organizational arrangements of the Authority.

The Council: The Board of Directors of the Authority.

The President: The President of the Council.

The Chief Executive Officer: The Chief Executive Officer of the Authority.

The Sector: The sector of games and electronic sports.

The authority enjoys legal personality and financial and administrative independence, and is organizationally linked to the President of the Council of Ministers. Its main headquarters is located in the city of Riyadh, and it has the right to establish branches or offices within the Kingdom as needed.

The authority aims to regulate the sector, enhance its position, sustainability, and attractiveness, address its challenges, and work on its development.

The Authority shall have a Board of Directors chaired by the President of the Council of Economic and Development Affairs, and composed of the following members:

1- Minister of Sports.

2- Minister of Communications and Information Technology.

3- Minister of Economy and Planning.

4- Minister of Investment.

5- Chairman of the Board of the General Panel for Media Regulation.

6- Chairman of the Board of the General Entertainment Authority.

7- Director General of the Strategic Management Office at the Council of Economic and Development Affairs.

8- President of the Saudi Esports Federation.

9- Two members from the private sector, or individuals with expertise and specialization in the field of the Authority's work, appointed by a decree from the President of the Council of Ministers based on a nomination from the President, with a membership term of (three) years, renewable once.

10- Chief Executive Officer.

The President shall select a Deputy from the members mentioned in paragraphs (1), (2), (3), (4), (5), (6), and (7) of this clause.

The Council is responsible for overseeing the management of the Authority's affairs and conducting its matters, and it makes all necessary decisions to achieve its objectives within the limits provided by the arrangements. In particular, it has the following responsibilities:

1- Overseeing the implementation of the tasks assigned to the Authority.

2- Approving draft laws related to the sector and proposing amendments to those in effect, in preparation for submitting them according to the legal procedures.

3- Approving strategies, policies, plans, programs, and initiatives related to the sector and the Authority's competencies, in preparation for submitting what requires completing legal procedures regarding it.

4- Updating the sector strategy, in preparation for submitting it according to the legal procedures.

5- Approving the standards and procedures specific to the sector.

6- Approving the controls and requirements necessary for the licenses issued by the Authority related to activities within its areas of competence.

7- Approving the Authority's structure and its organizational guide.

8- Approving the financial and administrative regulations that govern the Authority and other necessary internal and technical regulations to manage its affairs, provided that the approval of financial regulations and provisions with financial implications in the administrative regulations is in agreement with the Ministry of Finance, and the approval of administrative regulations is in agreement with the Ministry of Human Resources and Social Development.

9- Determining the financial fees for the licenses, services, and works provided by the Authority.

10- Approving the establishment of the Authority's branches and offices.

11- Approving the draft budget of the Authority, its final account, its annual report, and the report of its auditors, in preparation for submitting them according to the legal procedures.

12- Appointing an external auditor for the Authority and an internal financial controller.

13- Reviewing the periodic reports submitted to it regarding the progress of work in the Authority and the sector, and making the necessary decisions regarding them.

14- Approving the conclusion of agreements, memoranda of understanding, and contracts according to the legal procedures.

15- Approving the mechanisms and controls for accepting donations, grants, bequests, and endowments, in accordance with the governing provisions.

The Council may form permanent or temporary committees from its members or others, assigning them tasks it deems appropriate, specifying in the decision to form each committee its chairperson, members, and competencies, and it may seek assistance from whoever it deems necessary to perform the tasks assigned to it.

The Council may delegate some of its competencies to its chairperson or to any of its members or employees of the Authority.

1- The Council shall meet periodically at least (three) times a year, and whenever necessary as determined by the President or his Deputy, or if requested by at least (one-third) of its members. The invitation to the meeting shall be issued by the President or his Deputy in writing at least (seven) days prior to the meeting, and the invitation shall include the agenda.

2- The meetings of the Council shall be held at the headquarters of the Authority. The President or his Deputy may, by decision, hold the meeting at any other location within the Kingdom.

3- For the meeting of the Council to be valid, the presence of the majority of the members, including the President or his Deputy, is required. Decisions shall be made by a majority of the votes of those present, and in the event of a tie, the side that the President of the meeting voted for shall prevail.

4- The Council may invite those with expertise and experience to attend its meetings, to provide information, opinions, and advice, without having the right to vote.

5- A member of the Council may not abstain from voting nor delegate another member to vote on his behalf in his absence.

6- The deliberations and decisions of the Council shall be recorded in minutes signed by the President of the meeting and the attending members. An objecting member has the right to record his objection and the reasons for it in the minutes of the meeting.

7- The Council, when necessary and as determined by the President or his Deputy, may hold meetings and vote on decisions remotely using technological means. Decisions may be made by circulating them among the members, and they shall be signed in a manner that indicates all members have been informed of them. Decisions made in this manner shall not be considered valid unless they have been circulated to all attending members of the Council, who vote on them, and they receive at least a majority of their votes.

8- The Council shall have a Secretary from among its members or from the Authority's staff, appointed by the Council based on the President's nomination, who shall be responsible for the Council's secretariat, preparing for meetings, and recording the minutes, deliberations, and decisions.

9- A member may not disclose any information he has obtained regarding the secrets of the Authority even after the termination of his membership in the Council.

The Authority shall have a Chief Executive Officer, who shall be appointed and dismissed by a decision of the Council, and the decision of his appointment shall specify his salary and other financial benefits. He shall be responsible for managing the affairs of the Authority, and his responsibilities shall be based on the arrangements and what the Council decides. He shall undertake the following responsibilities:

1- Supervising the workflow in the Authority in accordance with the approved regulations, plans, and programs.

2- Supervising the preparation of draft laws related to the sector, proposing amendments to the existing ones, and submitting them to the Council for the completion of the legal procedures regarding them.

3- Supervising the development of strategies, policies, plans, programs, and initiatives related to the sector and the Authority's competencies, and submitting them to the Council for consideration and approval.

4- Preparing the standards and procedures specific to the sector and submitting them to the Council for consideration and approval.

5- Preparing the necessary controls and conditions for the licenses issued by the Authority related to activities within its competencies, and submitting them to the Council for consideration and approval.

6- Following up on the implementation of the decisions issued by the Council.

7- Proposing the structure of the Authority and its organizational guide, and submitting them to the Council for consideration and approval.

8- Proposing the financial and administrative regulations that govern the Authority, as well as other internal and technical regulations necessary for its operations, and submitting what is necessary to the Council for consideration and approval.

9- Supervising the preparation of the draft budget, final accounts, and annual report of the Authority, and submitting them to the Council for consideration and approval.

10- Disbursing from the approved budget of the Authority and taking all financial procedures in accordance with the approved regulations and within the powers delegated to him by the Council.

11- Proposing mechanisms and controls for the Authority's acceptance of donations, grants, bequests, and endowments in accordance with the governing provisions, and submitting them to the Council for approval.

12- Signing agreements, memoranda of understanding, and contracts after obtaining the Council's approval.

13- Representing the Authority before the judiciary, relevant government agencies, and other entities inside and outside the Kingdom, and he may delegate others to do so.

14- Supervising the preparation of periodic reports submitted on the workflow in the Authority and the sector, and submitting them to the Council for consideration.

15- Appointing employees in the Authority and supervising them in accordance with the approved regulations of the Authority.

16- Contracting with consulting offices, expert houses, and experts within the scope of the Authority's activities, and in accordance with what is determined by the approved regulations of the Authority.

17- Any other competencies assigned to him by the Council.

The Chief Executive Officer may delegate some of his competencies to whomever he sees fit among the Authority's staff.

The members of the Authority are subject to the Labor Law and the Social Insurance Law.