The following words and phrases - wherever they appear in this statute - shall have the meanings indicated opposite each of them:

Center: National Industrial Development Center.

Statute: Statute of the Center.

Ministry: Ministry of Industry and Mineral Resources.

Minister: Minister of Industry and Mineral Resources.

Council: Board of Directors of the Center.

Industrial Clusters: A group of basic industries, supporting industries, and downstream industries from supply chains operating in a specific industry, interconnected and integrated in producing a set of products or services of that industry.

Industrial Sectors: Sectors that fall within the jurisdiction of the Ministry and are licensed by it.

The center enjoys an independent legal personality and has financial and administrative independence. It is organizationally linked to the Minister, and its main headquarters is in the city of Riyadh. It may establish branches and offices as needed by a decision of the Council.

The center aims to contribute to achieving sustainable industrial development by targeting industrial sectors that have an impact on the national economy, and leading efforts towards developing, encouraging, and enabling industries within them.

• Without prejudice to the jurisdiction of other authorities, the Center shall undertake all necessary actions to achieve its objectives, including the following:

• 1- Formulating policies related to its work activity, and the plans and programs necessary for their implementation, and submitting what requires the completion of procedural formalities in this regard.

• 2- Proposing draft regulations related to its competencies, and taking the necessary steps to complete the procedural formalities.

• 3- Cooperating with relevant authorities to provide the infrastructure, facilities, and logistical services that support the development of targeted industrial sectors.

• 4- Working with relevant authorities to maximize the benefits of the Kingdom’s competitive advantages in order to develop the industrial sectors.

• 5- Identifying and developing basic and downstream industries and targeted supply chains with added value to the national economy.

• 6- Determining locations for industrial clusters, proposing standards and specifications for their management, and developing them.

• 7- Building indicators and standards to measure the maturity level of the industrial investment environment, and developing them periodically.

• 8- Working to attract industries and local and foreign capital, and to transfer advanced technologies to meet the needs of industrial sectors.

• 9- Working with relevant authorities to align the outputs of education and technical training with the needs of targeted industrial sectors.

• 10- Cooperating and exchanging expertise with regional and international bodies and organizations in the field of industrial development inside and outside the Kingdom, within the limits of its competencies.

• 11- Establishing strategic partnerships with the public and private sectors locally and globally to achieve its objectives, in accordance with procedural formalities.

• 12- Conducting studies and research and providing consultations in its fields of competence, either by itself or through cooperation with experts, companies, bodies, universities, and advisory and research centers.

• 13- Providing administrative, advisory, and technical services to investors in targeted industrial sectors.

• 14- Representing the Kingdom in regional and international bodies, organizations, and events related to its competencies, in accordance with the applicable procedural formalities.

• 15- Organizing and holding local and international conferences, exhibitions, and events within the scope of its competencies, participating in them, coordinating with relevant authorities, and in accordance with the applicable procedures.

The center may, in order to achieve its objectives, seek the assistance of experts, consultants, and consulting firms - from inside and outside the Kingdom - in its fields of work in accordance with the regulatory procedures.

The center may provide its services to others for a fee in accordance with rules approved by the Council.

• 1- The Center shall have a Board of Directors chaired by the Minister, and membership shall include:

  • A- The President of the Center.

  • B- Members not less than (four) representing government entities related to the work of the Center, each holding a rank not lower than (fourteenth grade) or its equivalent.

  • C- Members not less than (two) from the private sector who are interested, specialized, and experienced in fields related to the work of the Center, for a period of (three) years renewable only once.

• 2- The entities referred to in paragraph (B) of this article and the appointment of the members referred to in paragraph (C) of this article shall be determined by a decision of the Council of Ministers based on a proposal from the Chairman of the Council.

The Council is the supreme authority over the affairs of the Center, its management, and the conduct of its matters, and it has all the necessary powers to achieve its objectives, particularly the following:

1- Approving policies related to the Center's activities, the plans and programs necessary for their implementation, and submitting what requires completion of procedural formalities in this regard.

2- Proposing draft laws related to the Center's competencies, proposing amendments to the applicable ones, and submitting what requires completion of procedures in this regard.

3- Approving the organizational structure of the Center.

4- Approving the financial and administrative regulations of the Center and other internal regulations, provided that the approval of financial regulations and provisions with financial impact in other regulations is in agreement with the Ministry of Finance.

5- Approving internal regulations for the Council's work.

6- Approving the rules for the works, services, and licenses provided by the Center, and determining their financial fees.

7- Approving the Center's draft budget, its final account, the auditor's report, and the annual report; and submitting them according to the applicable procedural regulations.

8- Approving the conclusion of agreements, memoranda of understanding, and contracts, according to procedural regulations.

9- Approving the establishment of branches or offices for the Center.

10- Appointing one or more external auditors.

11- Accepting gifts, donations, grants, wills, and endowments, in accordance with the rules regulating that.

12- Reviewing periodic reports on the progress of work and taking necessary actions thereon.

The Council may form committees - permanent or temporary - from its members or others, entrusted with tasks it deems appropriate, and they may seek assistance from whomever they see fit to perform the assigned tasks, unless the Council decides otherwise.

The decision forming each committee shall specify its chairman, members, competencies, and members' remunerations.

The Council may delegate some of its powers to the Chairman of the Council, or to any of its members or Center employees as deemed necessary for the workflow.

• 1- Council meetings are held at the main headquarters of the center, and may, if necessary, be held at another location within or outside the Kingdom. Council meetings and voting on its decisions may be conducted through modern technology means.

• 2- The Council meets at least four (4) times a year upon the invitation of its President or his deputy, whenever the interest requires. The President must call the Council to meet whenever at least one-third of its members request so. The invitation must be sent at least seven (7) working days before the meeting date, including the agenda, place, and method of the meeting.

• 3- The validity of the meeting requires the attendance of the majority of the members, including the President of the Council or his deputy from the representatives of government entities.

• 4- Council decisions are issued by the majority vote of the members present. In the event of a tie, the side supported by the President of the meeting prevails.

• 5- The Council’s deliberations and decisions are recorded in minutes signed by the President of the meeting and the members present. A dissenting member may record his objection and the reasons for it in the meeting minutes.

• 6- A member may not abstain from voting nor delegate another member to vote on his behalf in his absence.

• 7- A member may not disclose any of the center’s secrets he has become aware of, even after the end of his membership in the Council.

• 8- The Council may invite those whose information and expertise it deems useful to attend its meetings without granting them voting rights.

• The Council shall have a Secretary, who is appointed and whose competencies and remuneration are determined by a Council decision.