Government

Saudization

السعودة (نطاقات)

📖 Definition

Saudization (Nitaqat) is a government program requiring businesses to employ minimum percentages of Saudi nationals. Companies are rated Green, Yellow, or Red based on compliance.

In everyday Saudi accounting work, saudization matters because it affects invoice accuracy, financial reporting, tax filing, or ZATCA compliance depending on the transaction.

📖 التعريف بالعربية

السعودة (نطاقات) هو برنامج حكومي يُلزم المنشآت بتوظيف نسب محددة من المواطنين السعوديين. تُصنف الشركات بالأخضر أو الأصفر أو الأحمر بناءً على الامتثال.

💡 Example

A retail company with 50 employees must maintain 35% Saudization (at least 18 Saudi employees) to stay in Green zone.

شركة تجزئة بـ 50 موظفاً يجب أن تحافظ على 35% سعودة (18 موظفاً سعودياً على الأقل) للبقاء في النطاق الأخضر.

When this term matters

Invoices

Use the correct term and value before issuing ZATCA-compliant invoices or credit notes.

Reports

Map it to the right account, tax field, or compliance report to avoid reconciliation gaps.

Compliance

Keep the Arabic and English meaning aligned when working with auditors, ZATCA, or customers.

ZATCA compliance guide →

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