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Maya Hardini Abboud, Banque Libano-Française

I started my career as a lawyer with diversified experience, before moving to Banque Libano-Française (BLF) in 2007 to start my in-house career as a legal consultant. BLF is a top-tier bank that is well reputed for its strict compliance with laws and regulations. It also owns a financial institution, Libano-Française Finance, which operates on the financial markets. In 2013, I was named head of legal compliance division and given a different set of responsibilities and tasks. My role now is to ensure Banque Libano-Française Group’s compliance with all applicable laws and regulations, whether Lebanese, foreign or international. This means, inter alia, making sure all applicable laws and regulations are duly observed, identifying any non-compliance and remediating it, as well as watching out for new laws and regulations, analysing them, interpreting them, disseminating them to all relevant parties and following up on their implementation.

The banking and financial sectors are very heavily regulated. The central bank of Lebanon requires banks and financial institutions to have a compliance department comprising of a legal compliance division – independent from the legal department.

We are continuously witnessing changes at a very fast pace in the legal and regulatory environment. Therefore, the biggest challenge is to keep up to date with all relevant laws and regulations, including any amendments that occur, not only at the local level but also internationally. Our bank has subsidiaries in other countries, so we have to stay abreast of any changes in the legal environment in these other countries as well, including case law, as well as the latest regulatory trends. We need to think ahead of such trends and prepare ourselves for the implementation of new regulations.

Another challenge is interpreting international law or foreign laws and regulations and finding ways to comply therewith where necessary, without breaching local laws.

To overcome those challenges, as a legal compliance division, it is essential to have the broadest possible spectrum of knowledge in laws – not only specifically in our field, but also in those that might have an impact on the general business environment. We also need to raise awareness within all levels of the institution as to the importance of compliance and as to non-compliance risks.

It is also very important, as part of the business practice of any legal compliance specialist, to maintain good communication with regulators, one that is based on trust and on dialogue.

We sometimes resort to external counsellors, especially on special issues or for questions related to foreign laws.

With the continuing evolution of regulatory environments in the last years, and the expected evolution in the coming years, the need for qualified legal compliance professionals who are able to properly interpret laws and regulations and to instruct institutions on how to implement them will continue to grow. n

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Sultanate of Oman

Since the first shipment of oil out of Oman in 1967, the Sultanate’s economy has been largely driven by oil and gas revenue. While that in itself is far from unique to the region, in some respects, Oman does stand alone. It is the largest oil and gas producer in the Middle East that is not a member of the Organization of the Petroleum Exporting Countries (OPEC), and has the longest-serving ruler in the Middle East, Sultan Qaboos bin Said Al Said, who has been in power since 1970.

Strategically located at the mouth of the Persian Gulf, Oman has been labelled as the Switzerland of the Middle East. The country has managed to maintain a peaceful outlook, despite sharing a border with war-torn Yemen, and being situated between powerful rivals, Saudi Arabia and Iran.

Oman also overlooks one of the most important oil and gas shipping lanes in the world, the Strait of Hormuz. In 2018, an average of 21 million barrels of oil were transported through the Strait every day according to the U.S. Energy Information Administration, accounting for a fifth of the world’s oil and linking crude producers in the Middle East with markets across the world.

‘The Middle East is heavily dependent on oil revenue, so whenever oil prices are high then, largely speaking, countries in the Middle East are doing well – although the reverse is true as well,’ explains Richard McLaughlin, general counsel of Oman Oil Company Exploration and Production (OOCEP). OOCEP, a subsidiary of the Oman Oil Company, focuses its activities towards upstream and midstream investments in Oman and abroad.

Growing pains

Oman’s oil and gas exports play a crucial role in driving the country’s economy. In a bid to maintain industry growth, the Omani government is introducing new laws aimed at encouraging private, international companies to continue to invest.

For example, a new law, labelled the Foreign Capital Investment Law, was revealed in July 2019, and will come into force at the start of 2020. It includes a raft of changes, all with the express purpose of making the Sultanate more attractive for foreign investment. The new regulations removed minimum capital restrictions on foreign investment, and allow for overseas investors to retain 100% ownership over their investments.

‘Everybody understands that you cannot rely on oil all the time. It will be depleted, and then the question is how you diversify your business. So Oman is following the UAE and Qatar and other countries who are doing that. So that is interesting in a sense that they are welcoming foreign investment,’ says one in-house counsel working in the oil and gas sector.

‘Foreign entities have limited options at present, for example, they can enter into joint venture agreements with local entities. So we join with foreign companies and enter into joint venture agreements with investors. Currently, in Oman, there's a lot of investment from Korea, China and, to a certain extent, France and other European companies.’

Though it is generally felt by in-house counsel across the region that this is a step in the right direction, if Oman is going to be successful in attracting larger pools of foreign capital, there will be further legislative shifts required.

State owned, state controlled

The oil and gas sector in Oman, as in most regions across the Middle East, is heavily regulated by the government. Unsurprisingly, that influence changes the way in-house counsel across the region must operate.

‘It brings a different dynamic – there is a lot of interaction with government, especially when it comes to oil and gas – and different government agencies have different drivers. Although you are a commercial entity, there are a lot of factors to consider. I think that’s something you need to learn pretty quickly when you are working in a government-dominated sector, because it’s not just the commercial interests that you have to consider all the time,’ says McLaughlin.

‘For example, if a company was thinking about releasing a drilling rig as it no longer needs it, the associated personnel that might have been employed to use it will also be no longer needed. A commercial company would say that it no longer needs that drilling rig anymore and it would terminate the contract and move on. In a government agency, employment is a big factor to consider. They may decide that the best option is actually to keep the drilling rig, and ensure all of those people remain employed.’

Balancing between government objectives and commercial obligations is key to success for in-house counsel working in Oman and across the Middle East.

Crudely opaque

The nature of the industry impacts everything, from the kinds of partnerships being entered into to the minutiae of the legal team’s day to day.

‘Although we are part of a larger group, we have our own autonomous structure. We have numerous joint ventures inside and outside of Oman,’ says McLaughlin.

‘We also have a lot of joint ventures with a lot of the big industry players: Shell, BP, Eni, Total Occidental, etc – so quite a range. In particular, we have acted on many transactions over the past few years, some of which were amongst the biggest in the sector.’

Working for a government authority lends itself to further considerations. When representing Oman, Orpic – a downstream business line for the oil and gas sector – has to ensure it legally complies with laws in other nations.

‘One legal challenge we have is to ensure that we comply with the applicable foreign laws as we extend our footprint abroad. Currently, Orpic has established offices in Turkey, India, Singapore, and China. Therefore, it is more critical for us to understand the laws in each country,’ says Elina Mohamed, general counsel of Orpic.

‘On the commercial law side, there are anti-corruption, antitrust and money laundering, laws for example, which can extend beyond your local jurisdiction. So those are what we call in law, “laws with extraterritorial effect”. This means that these laws can affect you, even though your principal business is based in Oman.’

In a bid to ensure legal obligations remain consistent across the business, Mohamed plays a key role in overseeing compliance protocols across Orpic: ‘As part of our compliance initiative, we make it a practice to have a face-to-face meeting with our advisers and lawyers in foreign countries. We are also trying to improve our compliance function internally, as compliance becomes more important as you start going abroad and expanding your business outside Oman.’

It is imperative that laws focused on preventing bribery and corruption, especially those which extend across jurisdictions, are complied with. Even if a transaction is deemed legal in Oman, it also needs to be deemed legal in the jurisdiction the business is associated with. Understanding these differences is essential for in-house counsel working in the Middle East and can present a steep learning curve for those who trained outside of the region.

Lorenzo Bruttomesso, head of legal at LNG LLC, started his career in his native South Africa, before moving to Oman in 2008 following eight years spent in private practice.

‘The essential difference, from a legal practice perspective, is that South Africa is a common law jurisdiction, whilst Oman is a civil law jurisdiction. In addition, there is no doctrine of judicial precedent in Oman.’

‘Agreements concluded between Omani and international entities are thus governed by predominately English law, with dispute resolution by arbitration, usually to be held in London, Paris or Singapore.’

Another factor is that despite the volume and size of commercial transactions, Oman has a small legal market compared to other countries in the Middle East, so in-house counsel have less choice when seeking the assistance of external legal advisers.

‘There are not that many international law firms here, so that reduces options at a local level, whereas, say, if you were in Dubai, that really would not be an issue. So that is quite different, but not a huge issue. It’s meant that we are not massively reliant on external counsel,’ explains McLaughlin.

Watts next

Fluctuating oil prices have long been a contentious issue across the Middle East. A combination of a prolonged global downturn and steady resource depletion has forced Oman to refocus its economic agenda.

The Oman Power and Water Procurement Co (OPWP) is a governmental body and the sole procurer of electricity and water capacity for the Sultanate, and is expressly aiming for Oman to become a regional leader in sustainable energy. Launching several major projects, OPWP hopes that as much as 30% of the Oman’s energy demands will be filled by renewable energy by 2030.

To meet this target, the OPWP announced in a 2019 press release the launch of its latest solar energy projects: ‘In line with Oman’s vision to diversify fuel sources through the use of clean energy for power generation, Oman Power and Water Procurement Company… is pleased to announce the launch of two solar Independent Power Projects (IPPs) in Oman. This launch follows the successful tendering of OPWP’s first utility scale solar IPP.’

‘With Oman’s continuous growth, implementation of wider scale solar power projects based on the IPP model will allow OPWP to achieve its objectives of sustainably providing power generation capacity.’

The Authority for Electricity Regulation Oman (AER) – Oman’s power sector regulator – has also taken steps towards encouraging homeowners in Oman to install rooftop solar panels. Its 2018 annual report outlines specific subsidies received by homeowners who have installed solar panels:

‘Article (18) of the Sector Law implements a mechanism through which the Ministry of Finance provides electricity Subsidy calculated by the Authority to licensed suppliers on an annual basis.’

In particular, the report highlights the Sahim 1 and Sahim 2 projects, which encourage large households and businesses to install solar panels: ‘During the first phase of the Sahim project customers that installed rooftop PV solar systems, at their own cost, were allowed to be compensated for PV electricity exported to a licensed system at the relevant approved Bulk Supply Tariff.’

Improving on the system, the AER implemented further allowances by enabling the privatisation of the energy sector. Oman’s shift towards renewable energy coincides with a global movement towards green energy, explains Mohamed: ‘Because of various issues worldwide, everybody is conscious of the fact that everybody has to be disciplined in terms of health, safety and environment.’

The road ahead

With a population of only 4.4 million people, Oman has transformed itself into an oil and gas trading hub. Regardless of its geographic location, the country has remained a safe and secure business and commercial centre.

‘As a country, Oman is very safe and secure. In fact, the 2019 Expat Insider survey, which was released by InterNations, ranked Oman at the top on the list of both the safest and the friendliest countries in the world for expatriates to live and work,’ outlines Mohamed.

‘But, at the same time, it also has its own challenges in terms of raising funds and attracting foreign investment.’

Nevertheless, in-house counsel in the region have witnessed continued efforts by the government to diversify Oman’s revenue streams – from law changes, to boosting foreign investment, and to increasing renewable energy initiatives.

‘Working as in-house counsel in Oman, there are both pros and cons. Specifically, some of the legal frameworks and regulations in Oman are still being developed and there are a lot of areas that require clarification,’ summarises Mohamed.

‘The flip side, of course, is that it also gives room for lawyers to argue on the interpretation of the existing law.’

Oman is an emerging market and, as such, provides opportunities to lawyers that would not be available in less developed markets. As Oman develops as a country, in-house counsel across the nation are exposed to unique and varied issues, challenges and opportunities. n

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Lorenzo Bruttomesso, Oman LNG LLC

I am a multi-discipline corporate, commercial, projects (including financing), compliance, and oil and gas lawyer and I strive to be a trusted partner, guardian and team member to the organisation, management team and board of directors for legal and compliance support. My role is head of legal at Oman LNG LLC, thus leading, managing and developing an effective legal team to cater for the needs of the company.

Our challenges are including, but not limited to:

  • the implementation of robust compliance procedures to ensure that we are dealing and transacting with third parties who do not pose risk to Oman LNG and our stakeholders from a sanctions, bribery and corruption perspective;
  • adherence to the latest business practices and ISO standards, including ISO 45001;
  • keeping abreast of and complying with international laws and regulatory frameworks applicable to our international transactions, including retaining international legal counsel who have branches or offices within the jurisdictions where our trading partners conduct business, including anti-competition regulations;
  • the legal department being an integral part of the decision-making process.

Leading, managing and developing a small but effective legal team necessitates interacting and collaborating with external counsel, especially in matters of complex international finance transactions, multi-package plant construction projects, international acquisitions and mergers, and complex litigation and international arbitrations. External counsel also serve as the first port of call in relation to any legal and regulatory changes impacting the industry or jurisdictions where the company’s business is conducted, such counsel being local and international, depending on the needs.

Having been a practising attorney, notary and conveyancer for two decades prior to moving in-house has been very beneficial in my in-house roles, and is reflected in my relationship with and how I interact with various external legal counsel.

Having worked in South Africa previously, the essential difference, from a legal practice perspective, is that South Africa is a common law jurisdiction whilst Oman is a civil law jurisdiction. In addition, there is no doctrine of judicial precedent in Oman. Agreements concluded between Omani and international entities are thus governed by, predominantly, English law with dispute resolution by arbitration, usually to be held in London, Paris or Singapore.

Situated outside the Persian Gulf, Muscat is a business- and family-oriented city, with associated amenities. The Sultanate is home to diverse environments and topography, namely mountains, valleys, deserts and coasts, and flora and fauna unique to the Arabian Peninsula. The diversity and uniqueness of these environments are important with respect to sustainable growth and development, and they attract visitors, tourists, working professionals and families alike. Oman is often referred to as the Switzerland of the Middle East due to the fostering of neighbourly and peaceful relations. n

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Richard McLaughlin, Oman Oil Company Exploration and Production

Oman, like many countries in this region, is highly dependent on oil revenues. Oman produces about a million barrels of oil per day, and about 80% of it is exported, mainly to China. The rest is exported into the local market to make petrol and aviation fuel.

Oman Oil Company Exploration and Production is only about 10 years old. It acts as both operator and non-operator in Oman and overseas. When the government issues exploration and production blocks here in Oman, the government often reserves for itself the ability to ‘back in’ to the development later. So they allow the foreign entity, usually, to invest and look for oil or gas and then if there is a successful development, the government can ‘back in’ at that point. We have been the de-facto recipient of those back- in rights, so we work very closely with the Ministry of Oil and Gas, either as a partner to incoming investors or as a party to these agreements.

My role is broad and covers the spectrum of general counsel, work and this includes significant commercial activities and transactions. A key challenge with large transactions is timing and resourcing them properly, because at times we have had numerous transactions happening simultaneously – so that can be a stretch, resource wise.

In Oman and the Middle East more widely, government entities are very influential. So if you look at Saudi Arabia, the United Arab Emirates, Kuwait and Oman as examples, government-owned entities are highly visible. That is different from other places I have worked and brings with it a different dynamic.

There is a lot of interaction with the government and numerous other agencies as a result. Different government agencies have different drivers which have to be taken into account. Although you are a commercial entity, there are a lot of factors to consider. I think something you have to learn pretty quickly when you’re working in a government-dominated sector is that it is not always solely about commercial interests – and that’s quite different for many counsel.

Most of what we do is done in-house because we are specialist oil and gas lawyers. But we do seek external help from time to time. The usual things we seek external assistance on are either large transactions where we are looking for additional resource or large disputes.

Most oil and gas transactions, financings and partner agreements are governed by English law, but we often need a combination of English law and local law advice. The local law elements tend to be less significant in the overall context, but nevertheless they need to be checked. n

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State of Qatar

The State of Qatar is an independent emirate located along the western coast of the Arabian Gulf. Among its vast shale and crude oil stockpiles, the country is known to have the third largest natural gas reserve in the world. Since becoming independent in 1971, Qatar has used its considerable natural resources to transform itself into an economically flourishing nation in the Gulf.

In a bid to become less vulnerable to the boom and bust cycles of oil and natural gas prices, Qatar has shifted its focus from the energy sector towards developing a robust financial industry and infrastructure portfolio.

In recent times, however, geopolitical pressures have forced the country to diversify its economy. In 2017, the United Arab Emirates, Bahrain, Saudi Arabia and Egypt cut diplomatic trade ties with Qatar, claiming – among other allegations – it supported terrorism. Although these claims have been vehemently denied by Qatar, a land, sea and air blockade remains in place today.

Despite the blockade, Qatar has maintained steady economic growth. According to Nasser Al Taweel, chief legal officer of Qatar Financial Centre Authority (QFCA), there are positives to be derived from the incident.

‘It was a major event that happened in the State of Qatar, but speaking about it three years after the blockade, it was a very good thing that it happened to us, simply because it was a wakeup call,’ explains Al Taweel.

‘It made us think a lot more about the future, thinking about cost efficiency in terms of whatever goods or services we need. It forced us to think about building our financial sector in a more robust manner and to think about depending less on others.’

Compared to neighbouring nations, Qatar has been slow to develop its now thriving economy. Making up for lost time, Qatar’s rich history has enabled it to adopt a uniquely global outlook as it continues to develop at a rapid pace.

‘The country has only become rich in the last 20 years. That has resulted in very quick changes, not just in the business environment, but to the economy and the look and feel of the city,’ says Christopher Berlew, chief legal officer of Qatari Diar.

As a result, in house counsel have been playing a crucial role behind the scenes to assist and facilitate such rapid change.

The build up

A major driver for change occurred in 2010, when Qatar won its bid to host the 2022 FIFA World Cup. The decision secured Qatar’s place in history as the first Middle Eastern country to host the event, while refocusing the nation’s infrastructure development agenda.

Leading legal operations for the property development branch of the State of Qatar’s sovereign wealth fund, Qatari Diar, is Christopher Berlew.

‘As part of the state sovereign wealth fund, we are quite a large player in the market here and we are playing an integral part to the preparations for the 2022 World Cup,’ he says.

‘We are building the Lusail City project, which is an enormous new city just north of Doha, which will become the new administrative capital of Qatar.’

The development will hold numerous sports arenas, five training fields and will be the location of the main stadium for the 2022 World Cup. Construction plans also include 22 hotels with fully equipped facilities to host teams, spectators and visitors.

‘We are ramping things up to get the key parts of the Lusail City project finished and operating by the time of the World Cup. The pace will continue to pick up until 2022 – the games are sort of at the end. We are targeting for everything we are building to be ready in the middle of summer, this time in three years.’

With the construction of several major stadiums and housing developments under way, Qatar has made a significant investment into upgrading its infrastructure networks. As the general counsel overseeing these developments, Berlew believes acting on behalf of a sovereign wealth fund gives rise to its own set of challenges and considerations.

‘What makes it uniquely interesting and challenging is: a sovereign wealth fund is not purely an economically rational actor. It doesn’t just chase the highest returns. It does not behave like a purely private investor. Although it has an interest in making good returns on the State’s money, it is interested in getting some perhaps non-monetary returns from some of its investments – whether that be diplomatic or charitable.’

On the right track

Experiencing similar challenges is Stephen Hibbert, general counsel of Qatar Rail, a state-owned and operated enterprise. Joining the team in 2012, Hibbert was tasked with the legal challenge of overseeing the construction of Qatar’s multibillion-dollar rail network.

‘In terms of the legal challenges, they were setting up and running a company and drafting all of the contracts from square one,’ he says.

“What makes it uniquely interesting and challenging is: a sovereign wealth fund is not purely an economically rational actor.”

‘This is not like Sydney Trains or National Rail, where you’ve got suites of contracts and you’ve got a library of technical specifications. Actually, nothing existed. You’re starting from a blank sheet of paper.’

The rail network is comprised of three major projects: the Doha Metro, the Lusail Tram, and the Long Distance Rail, which will connect to a wider rail network.

‘The legal challenges were primarily concerned with the drafting of big, complex contracts for an environment which had never seen this type of work before, and for contractors coming from overseas, many of whom had never worked in Qatar before.’

From a legal standpoint, the sheer management of such an endeavour would be a challenge for any in-house lawyer. Drawing from his past railway work in Australia and Asia, Hibbert explains that the key to success is providing support on every level.

‘We put people inside with government agencies, payment organisations, within the department of environment and we engage with them directly with the supply chain at various points, to make sure that our contractors were successful.’

Making financial cents

In addition to major infrastructure developments, Qatar has worked to strengthen its economy by building a robust and steady financial sector.

‘The financial sector in Qatar has been very stable. It’s one of the more stable financial sectors I think regionally, and I think it would be fair to say in the world. The financial sector is strong and is growing,’ explains Nasser Al Taweel, chief legal offer of Qatar Financial Centre Authority (QFCA).

The QFCA is a platform within which investors and business owners can set up a company in Qatar. It consists of an independent regulator, as well as an independent judiciary – which includes a civil and commercial court, in addition to a regulatory tribunal.

‘The QFCA has its absolute autonomy when it comes to regulations, when it comes to establishing businesses, when it comes to issuing licences,’ explains Al Taweel.

‘The role of chief legal officer at QFCA, in addition to the normal ins and outs that chief legal officers do – like ensuring contracts are drafted and reviewed, providing legal advice, managing legal matters and defending their organisations against any litigation – we have the role of the regulator.’

QFCA provides an independent legal and business framework that promotes the development of a capital market. Al Taweel believes an autonomous system that serves the interests of both regional and international investors will only strengthen Qatar’s economy.

‘For the system to work, what we need to do is have our own laws and regulations. Putting in these laws and regulations is the responsibility of the legal department. Therefore, we spend a lot of time basically drafting these regulations, making sure that they work, which is a completely different beast altogether compared to drafting a contract,’ says Al Taweel.

‘When I draft a contract, it’s a bilateral agreement, or sometimes multilateral. But when you have unidentified parties when you draft a law, it’s completely different, it’s a completely different set of skills.’

Although building a parallel and separate financial body is a challenge, it is an essential element needed in order to keep up with – and further promote, particularly internationally –Qatar’s economic growth story.

‘Since our financial sector is developing so rapidly, a lot of the development of that is a legal development. So, we are talking about amending laws, amending regulations and hence forth. I am involved in a number of committees, a number of engagements outside the boundaries of the QFCA, mainly to try and assist in basically upscaling the financial sector in the State of Qatar,’ says Al Taweel.

‘It’s not easy to make changes and improvements in any system, let alone the financial system, which is normally hard to amend and change because there are so many interests involved.’

A hotel takeover

In addition to establishing a secure financial sector, the State of Qatar has developed an enviable property portfolio – which is only set to expand in coming years. Overseeing part of this growth story is legal director of Katara Hospitality, Kushagra Priyadarshi.

‘Katara Hospitality is owned by the sovereign wealth fund of Qatar, which is the Qatar Investment Authority. They hold almost all of the luxury real estate in almost four continents. They also have a huge portfolio of luxury real estate in this country, which is Qatar,’ explains Priyadarshi.

Qatar’s property portfolio is currently valued at over USD$15bn and includes iconic hotels such as the Plaza in New York, the InterContinental Amstel Amsterdam, The Savoy in London, Raffles Hotel Singapore and The Peninsula Paris – just to name a few.

“Qatar is full of opportunities, endless opportunities. Every day you have something new. We are a very vibrant country, with a very young leadership.”

‘Most of the legal work happens from the head office where I am stationed. My work includes any transactional plus legal and compliance work that relates to all our properties and portfolios, which are basically under my oversight,’ says Priyadarshi.

‘My job here includes a whole spectrum of hospitality and luxury real estate work, which includes overseeing any mergers and acquisitions, any and all sorts of financing which relates either to deposit financing, corporate financing, acquisition financing, treasury matters and all of that. Then any litigation disputes.’

Katara Hospitality manages over 75 subsidiaries, which are spread all across the world. Managing these jurisdictions has been one of the biggest challenges, explains Priyadarshi.

‘One of the key challenges is the interaction between all of these different jurisdictions. Since all of it is being managed through the central location here from the head office [Doha], we need to have an overview of all jurisdictions and how they interact with each other to come up with a comprehensive legal strategy of compliances and conformity across these jurisdictions.’

Financing the future

Considerable oil and gas reserves, wise infrastructure investments, and a strong financial sector have secured Qatar as one of the wealthiest countries in the world on a per capita basis, and general counsel have played a vital role behind the scenes advising and assisting upon the nation’s continued growth.

‘I think a country that is undergoing a major development and a major improvement of their systems – for that country there will always be a role for in-house counsel,’ explains Al Taweel.

‘Qatar is full of opportunities, endless opportunities. Every day you have something new. We are a very vibrant country, with a very young leadership that is ambitious, that wants to change for the better and that is very well educated.’

The opportunities available to general counsel are also a reflection of Qatar’s outward-facing business agenda. Hosting the 2022 FIFA World Cup is not only a breakthrough for the Middle East, but strengthens Qatar’s global outlook.

‘I think the World Cup is going to change the map,’ says Al Taweel. ‘It’s going to change the way people are looking at business and the State of Qatar. I think a lot of people are now encouraged, compared to before Qatar was hosting the World Cup.’ n

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Christopher Berlew, Qatari Diar

Qatar is quite a small country, but because of its wealth and strategic importance, not to mention a World Cup coming up, it has a much more global outlook than would normally be the case for such a small country, and such a small market.

I work as the chief legal officer of Qatari Diar, which is the property development arm of the State of Qatar sovereign wealth fund. We are wholly owned by the Qatar Investment Authority, which is the main sovereign wealth fund – and we engage in real estate property development and some investment, both here in Qatar – which is a big part of our operations – but also around the world.

Now we, as part of the state sovereign wealth fund, are quite a large player in the market here. We’re an integral part of the preparations for the 2022 World Cup, because we are building the Lusail City project. This is an enormous new city we are building just north of Doha (the existing capital), which will become the new administrative capital. It is also the home of the main stadium – the lead flagship stadium for the World Cup – which is where both the ceremonies and the final game will be played. We’re building a lot of the infrastructure that will be used as part of the 2022 World Cup, too.

We’re currently investing – and have already invested a huge amount of money – in Lusail, and we are really ramping things up to get it finished, but it is very much a work in progress. There are key parts of the Lusail City project that have been identified as priorities, that need to be finished and operating by the time the World Cup commences. So are a lot of things that go on with that. In terms of challenges, it really is to mobilise and get the necessary plans done, get the contractors mobilised and ensure that everything is finished in time.

The World Cup was awarded to Qatar back in 2010. Since then it has contributed in a major way to the process, which was already going on. Qatar is a very small country and began to develop quite late – even later than some of its neighbours here in the region.

The country only become wealthy in the last 20 years. That has resulted in very quick changes – not just in the business environment, but to the economy as well as the look and feel of the city. The options that are available to people, the size and composition of the population, have all changed, so it’s been a massive shift – not just to the business environment, but in all aspects of Qatar.

What you have is a country where the leadership is trying very hard to make up for lost ground and develop quickly into a modern country that can eventually sustain itself without relying so heavily on petrol dollars for its income. That means massive investment in infrastructure, education and housing. It means building a modern city with a modern outlook, and everything to take the country past and beyond the years after the World Cup.

The pace will continue to pick up until 2022. We are targeting for everything we are building to be ready in the middle of summer in three years’ time. Inevitably there will be delays, but the pace will continue to pick up until then. n

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Kingdom of Bahrain

Bahrain is the smallest of all members of the Gulf Cooperation Council, with a population of a hair over 1.5 million – just more than half the population of the next-smallest GCC state, Qatar.

Like most of the region’s oil-dependent nations, Bahrain has long fought to diversify its economy and free itself from the volatility of global oil prices. Despite being the first country in the Middle East in which oil was found (1932), Bahrain has struck oil only once more since then and, with a portfolio of merely two oilfields, the need to diversify has always been particularly pressing for the country. As reserves have dropped, the leadership in Bahrain has taken great pains to pivot the economy away from oil and toward diversity.

This background informs the Bahraini approach to business today: innovation and doing more with less. It is no surprise, then, that the country’s in-house community has grown into a vibrant, mature, and business-critical component of a constantly changing business environment.

Bahrain’s trusted advisers

Today, the in-house role enjoys a high profile in Bahrain: many of its general counsel also enjoy senior positions either sitting on the board outright, or advising it directly in a secretarial capacity. Understandably, this high position gives the legal function more teeth than they otherwise might have.

‘Historically, it is not very common for large financial institutions, as it is difficult to find someone who is able and experienced enough to perform both roles,’ explains Jawad Zabar, group general counsel and board secretary at BFC Group Holdings. ‘However, in recent times, I have seen it slowly becoming more and more common as organisations also start looking at reducing cost.’

‘It is very important to involve the board on every research-critical matter. Having access to the board as well as directly interfacing with the CEO and CFO really helps, because I report to the CFO and, by extension, the CEO. This helps things move faster and more effectively,’ adds Bharat Kumar Mehta, general counsel and board secretary for APM Terminals in Bahrain.

‘It is very important that I, as legal person have knowledge about important activities in the business. This can only be possible if one is involved from the start of the process, and given the senior position; it really enables me to get that information across to the board, and it’s easier to get information from others, as there is less pushback.’

The argument in favour of having a legal adviser at board level can be made anywhere in the world but, in Bahrain, the need is particularly pertinent.

‘In Bahrain the regulatory environment is rapidly evolving. Bahrain is coming up with many more laws – every two months there is a new law. For example, we just came out with a new data protection law in line with GDPR, we’ve come out with a new competition law, a new economic standards law in July, then we have also come out with an online marketplace or ecommerce law. So, they are coming out with so many laws that, I don’t anticipate how a business can work without in-house legal departments.’

National innovation

In addition to the same general legislative and regulatory changes faced by any rapidly evolving nation, there is another reason why the legal environment in Bahrain is moving as fast as it is. Despite its size, the country has been able to carve out a name for itself as an innovator in areas where other, more prominent countries have lagged behind.

The Central Bank of Bahrain, for example, formally established a FinTech and Innovation Unit to ensure that the country was properly catering for and nurturing the development of its burgeoning fintech industry. Involved in this push was the establishment of a ‘regulatory sandbox’, in which fintech companies are enabled to develop their offerings in a virtual space. The Central Bank of Bahrain has also established the Global Financial Innovation Network, which is designed to help firms interact with regulators and navigate between different frameworks across multiple countries when looking to expand globally.

‘Bahrain is unique due to its small geographical size and its important role in the region as a financial and commercial hub,’ explains Zabar.

“Bahrain is unique due to its small geographical size and its important role in the region as a financial and commercial hub. It is ever evolving.”

‘It is ever evolving, especially with the introduction of disruptive technologies. However, Bahrain is always looking to take a welcoming stance on these technologies and adapt to add value to the country, and simplify or foster frictionless transactions while promoting business growth.’

These latest innovations are only the latest entries in a long record of Bahrain leading the way in the region. Particularly in the financial sector, Bahrain is renowned for being ahead of the curve, and such long-term thinking enabled Bahrain to establish itself as a banking hub as early as the 1970s. It was among the first in the region to draft and implement a trusts law, and was the first country in the GCC to implement an investment limited partnership law, long used around the world specifically for investment in collective investment funds.

This appetite for innovation trickles down to the in-house counsel working on the ground in Bahrain, and challenges them to step-up in their professional lives.

‘As a result, the depth of international exposure you experience as a legal counsel in Bahrain is a great opportunity. Bahrain is always at the forefront of adopting international best practices. Recent examples include being the first in the region to introduce the regulatory sandbox for fintech products, creating one of the first fintech hubs in the region, introducing personal data protection laws and groundbreaking electronic transaction laws,’ says Zabar.

‘Therefore, the unique challenge is being able to navigate the ever changing legal and regulatory landscape; however, as with every unique challenge, it is also a unique opportunity.’

Foreign investment

Bahrain’s tilt towards innovation has proved vital in moving the country beyond oil and towards other sources of economic prosperity. Progressive efforts on the part of the leadership – such as the regulations that led to Bahrain’s prominence as a financial centre – have gone a long way towards attracting foreign investment.

‘Bahrain has always tried to work toward a better regulatory environment. They want to be in line with all EU requirements, for instance, because they want to promote Bahrain as an investment centre,’ says Mehta.

‘To attract international investments or foreign investments, they will need to establish a proper legal regulatory environment, because if they don’t have, for example, a proper anti-corruption and bribery law, then the entities in Europe or other countries will not be able to invest in Bahrain. That is where they want to build the regulatory environment up to the speed of any developed country: in order to get the best rating, and in order to improve ease of business and compliance with international laws.’

Religiously competitive

Similar to many countries in the region, Bahrain’s official religion is Islam and, as such, Sharia law plays a large role in the country’s constitution. Article 2 of Bahrain’s 2002 Constitution declares Sharia as the primary source of legislation. Though Sharia courts typically handle matters of family law, the civil courts of Bahrain are required to look to Sharia in cases where legislation is unclear on a particular matter.

While the role of Sharia is limited in commercial matters, the fact that Bahrain is an overwhelmingly Muslim country means that lawyers still need to be cognisant of the religious law.

‘Having worked in an investment firm, we had investors who were Sharia and, to deal with Sharia investors, we had to ensure we had Sharia-compliant funds,’ explains Mehta. ‘Understanding Sharia concepts, coming from a non-Sharia country, was a new experience.’

The presence of Sharia law in Bahrain’s legal code also serves as yet another example of how Bahrain manages to gain a competitive edge in the international marketplace, maintaining its status as an attractive destination for foreign investment. In 2017, the Central Bank of Bahrain introduced some of the most advanced rules governing Islamic banks by requiring them to undergo independent and external audits in order to verify compliance with Sharia. Compare this to most banks in the GCC, which are typically free to rely on their own in-house religious scholars to ensure that products being offered are indeed Sharia compliant. The first audit reports, which are required to be made public, are expected in 2020.

“The presence of Sharia law in Bahrain’s legal code also serves as yet another example of how Bahrain manages to gain a competitive edge in the international marketplace.”

‘Bahrain, along with Dubai and Kuala Lumpur, are as seen as leaders in the area of Islamic finance in particular,’ says one general counsel for a private investment fund in Bahrain. ‘For its size, Bahrain has a huge piece of the global Islamic banking market, at just under 2%.’

Visions for the future

Like many Gulf countries, Bahrain has set out its vision for the future in a 26-page document entitled Bahrain Economic Vision 2030. Launched in 2008, the vision marked the beginning of renewed reforms and liberalisation in Bahrain, and continues the country’s long arc towards a diverse, oil-independent economy. Increased volatility in global oil prices in recent years has only shone further light on the urgency of this diversification.

This vision has manifested in countless regulatory and legislative changes over the past few years and even decades. Most private companies enjoy tax-free status, and many sectors allow for 100% foreign ownership, such as in the technology and manufacturing sectors. The Kingdom has also reduced the minimum capital requirements for incorporating in Bahrain, specifically to open the door more widely to foreign investment.

In keeping with Bahrain’s tradition of being a first mover, in 2019 Bahrain became the first country to adopt the United Nations Commission on International Trade Law (UNCITRAL)’s model e-commerce laws. Among many other things, the laws puts electronic documents – bills of lading and promissory notes, for instance – on the same legal footing as their paper equivalents. Together with improving supply-chain efficiency throughout the economy, the law also paves the way toward a blockchain-backed future.

The New Arbitration Law in 2015 introduced UNCITRAL’s model law on international commercial arbitration into the Bahrain legal system, applying it to all arbitration cases, whether or not the arbitration takes place in Bahrain or abroad.

These are but a few of the reformations flowing down from Bahrain’s vision 2030, and the breakneck pace at which the Vision is being implemented is largely welcomed by the in-house community.

‘It gets difficult, keeping abreast of the legal changes in Bahrain, but business by and large understands the necessity. The changes that have been made have, to my knowledge, all been necessary and will, I think, be very positive for Bahrain,’ says one general counsel for a private investment fund in Bahrain.

Zabar is similarly optimistic: ‘In the next five years, the ever increasing prevalence of legal tech, and the continued roll-out of groundbreaking initiatives and laws and regulations governing electronic transactions and digitisation – as a result, Bahrain will continue to be a unique destination to attract foreign direct investment and sponsor business growth in the region.’

There are still creases yet to be ironed out. According to the World Bank, Bahrain ranks 62nd out of 190 countries in its 2019 Ease of Doing Business rankings.

‘One problem which we see is lack of precedence on basic matters,’ explains Mehta. ‘If the authorities are not very clear, then it can hinder business. They need to create that clarity across the authorities as well as across the entities or organisations in order to ensure the smooth implementation of such laws. It creates difficulty.’

One example that Mehta gives is the country’s labour laws relating to annual leave: a new law introduced in 2012 increased the minimum annual leave entitlement to 30 days, but a lack of clarity on whether this meant working days or calendar days left businesses in a state of confusion until further clarity was provided.

‘The company needs one answer. They need to know what they have to do. That is a challenge which an in-house counsel will face every day, and we have to come up with our right interpretation, what makes sense for the company, so we have to move ahead regardless,’ he says.

‘From the regulatory perspective, I think they still need to evolve quite a lot when compared to other developed or developing nations.’ n

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Stephen Hibbert, Qatar Rail

I started with Qatar Rail in February 2012. As of August 2019, we have just opened the first metro line in Doha and we look forward to opening the rest of the network, 37 stations – 31 of which are underground – by November 2019.

One of the great challenges for Qatar Rail is doing a railway project in a country that has never seen a train, has no laws relating to railways, no rail safety and no experience in anything in rail. Everything you work on is like starting on a blank sheet of paper.

In terms of some statistics, during the course of the project we brought into the country 21 tunnel boring machines – which has gone into the Guinness World Records. We tunnelled 140km under the city of Doha to build the network. To do that in a country with the heat in summer, that’s a real challenge – and, at its peak in 2018, we had 84,000 people working on the project. So the sheer management of that in any country would be tough.

With regards to the legal challenges, we were setting up and running a company and drafting all of the contracts from square one. This is not like Sydney Trains or Network Rail, where you’ve got suites of contracts and you’ve got a library of technical specifications. Rather, nothing existed – so we had to import it all. Qatar Rail is a company that consists of people who have been working on rail projects all around the world.

The legal challenges included drafting big, complex contracts for an environment which had never seen this type of work before and for contractors coming from overseas – many of whom had never worked in Qatar – to undertake these type of projects. So they were complex from a technical specifications point of view and an engineering point of view. They were a challenge certainly from conditions of contract, the contract style and approach to the procurement.

The challenges in the Middle East, firstly, is the environment; it is quite hostile for three, or four, or five months of the year. Secondly, everything depends on the maturity of the industry you’re working in; if you are working on a rail project in Qatar, then the supply chain can be challenging. For example, the local industries have never made precast concrete rings – let alone 4 million of them. We have never imported tunnel boring machines, set them up and run them under the city. If it’s a fully designed, architecturally specified hotel, then it’s fine. But when it’s new, and it’s different – every aspect of it is a challenge. The government authorities who have to issue approvals and review designs and documents may never have seen some of these things before, so they needed support at every level. We put people inside with government agencies, payment organisations, within the department of environment, and we engage with them directly with the supply chain at various points, to make sure that our contractors were successful. n

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Bharat Kumar Mehta, APM Terminals

I believe that in-house legal personnel now have to be a business partner, and not just a legal adviser. I try to partner with each department and establish good relationships with each stakeholder, be it internal departments or external parties – which include regulators, investors and vendors. Because everyone is a partner, without everyone’s support we will fall. So it’s important that everyone is speaking the same language and has the same objectives. We have to ensure stakeholder management and that is where I try to get buy-in from everyone and, accordingly, provide a solution that doesn’t create any unnecessary hassle for them, while also protecting the company.

In previous roles, I was doing standard commercial work, but it was mostly investment on the private equity side and therefore we were dealing with the Cayman Islands and private equity transaction documents. When I moved to APM Terminals, I had to deliver an IPO in a very short span, which is a different market all together – dealing with capital markets and so on. But getting to grips with a new set of laws was an exciting challenge.

Overall, my transition was fascinating, because once you get comfortable in a role, the excitement is gone. But, fortunately, that is where in-house legal roles usually get more and more exciting – every day is a new day. APM offers another challenge – being part of an international group. Being based in 200 countries, it did mean that it was a challenge to integrate their international policies within the APM brand locally – but it was one I felt I was able to rise to.

Also unique was the fact that the APMT brand had a very fresh legal department – it was only two years old. Before that, there was no legal department in APMT per se. APMT Bahrain has over 500 employees, so to establish the department and the right documentation across the different segments was in itself a great learning experience, and has developed me into a better professional.

In setting up the legal department here, the structuring was really a good experience in terms of deciding how and what we should do, what kind of communication we had with each department, and what kind of role we should play in helping each department.

In terms of supporting investment, I think Bahrain will succeed faster and faster. They have actually liberalised quite a lot of commercial laws and requirements in particular. For example, earlier, the minimum capital requirement for any small entity to be incorporated was 20,000 BD, which equates to around $55,000. Now, they have reduced this substantially to $300.

From a regulatory perspective, I think Bahrain still needs to evolve quite a lot when compared to other developed or developing nations – like for example, India, which has a robust regulatory environment or Europe, where they have a more robust regulatory environment still. But Bahrain is going in the right direction, at least. I would say they are getting closer to most developed regulatory environments, but it still needs some work. n

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Kingdom of Saudi Arabia

Despite Saudi Arabia often being compared to neighbours such as the UAE, the Kingdom stands alone in the region in many respects – culturally and economically. But the winds of change blowing in from the rest of the Gulf are making their mark and, if the Kingdom can be compared to the likes of the UAE, it is because the ruling classes are embracing change as a necessity – albeit the speed and shape that such change is taking may be unique.

The headline differentiators are inherently contradictory: on the one hand, you have Saudi Arabian women being granted the right to drive amidst a swathe of liberalisations; while on the other hand, you have Skype and WhatsApp – both rapidly becoming key tools in the arsenal of businesses around the world – being banned in the Kingdom. But to focus on the areas where Saudi Arabia may be lagging behind some of its closest neighbours is to paint an incomplete picture of a country that, in actuality, is undertaking a rapid period of modernisation. At the centre of this transformation are the general counsel (both born locally and expatriated from abroad) who are finding ways to partake in the oncoming new era, which is providing opportunities to meaningfully affect the course of business in Saudi Arabia to a degree rarely seen in other jurisdictions.

Saudi Vision 2030

Like many other countries in the region, Saudi Arabia has been vocal about its plans to create and introduce the next era for the country. Unlike, say, the UAE’s Vision 2021, however, Saudi Arabia’s equivalent – Saudi Vision 2030 – is both much newer and operating on a longer time scale.

Introduced in 2016 by Crown Prince Mohammed bin Salman, the vision is intended to reduce the Kingdom’s dependence on oil, diversify its economy, and massively invest in public infrastructure across the country, with a focus on healthcare, education, recreation and tourism. This has created a flurry of development across the country, with a frenzy of economic activity vastly changing the physical and metaphorical landscape of Saudi Arabia.

‘Saudi Arabia has initiated five-year development plans since 1975, so that the recent 2030 vision plan of modernisation is built on the progress of its antecedents, so that each generation benefits from the progress of the past,’ explains Dr Saleh Al-Oufi, general counsel at Taqnia Holding.

‘Nevertheless, a new generation of leaders brings with them new challenges and impetus for development, such as the Crown Prince unveiled Vision 2030 – an ambitious programme of development for the Kingdom. The Crown Prince noted that “Our Vision is a strong, thriving, and stable Saudi Arabia that provides opportunity for all”.’

A key part of the diversification of the Saudi Arabian economy is the growth of the private sector, which is unusually small compared to the Kingdom’s substantial public sector. Saudi Arabia has fought to achieve this by reducing red tape, improving the efficiency of the courts, and lowering the barriers for foreign entities to enter the Saudi Arabian market. As the private sector does grow, so too does the chance for in-house counsel – both locally born lawyers looking to leave the public sector or foreign lawyers that have been lured to the country by increasing opportunities – to play a meaningful role in business within one of the region’s most exciting economies.

‘The region is so dynamic, with things constantly changing all around us. It’s not just social, not just economic and it’s not just political. There are so many aspects of change,’ says Shaun Johnson, director (legal) of Vision Invest (formerly ACWA Holding) in Riyadh.

‘Saudi is transforming into one of the world’s most competitive economies and attracts expat workers from around the globe,’ adds Farah Zafar, chief legal officer for the Public Investment Fund of Saudi Arabia.

“The region is so dynamic, with things constantly changing all around us. It’s not just social, not just economic and it’s not just political.”

‘As a result, the working environment is very multicultural and welcoming. The people of Saudi Arabia are just amazing – they’re hospitable, hardworking, focused and are looking to the future in so many ways. They are witnessing a transformative era in their history and the excitement and momentum is infectious. This results, therefore, in an opportunity to exchange cultures across people, ideas, and experiences, in order to learn and grow together – to achieve the unimaginable.’

Al-Oufi echoes this sentiment and is bullish on the opportunities enjoyed by in-house counsel thanks to Saudi Arabia’s ambition.

‘I see my role and the role of every legal professional increasing, as the Vision 2030 outlines economic development among several specific goals and initiatives for the Kingdom to achieve,’ he says.

‘In the economic sector, regulations have been streamlined to encourage foreign investment and that will lead to the emergence of key opportunities for partnership in a number of industries such as manufacturing, and technology transfer. These efforts will provide all Saudi legal professionals better opportunities to participate in the execution of Vision 2030 for the Kingdom of Saudi Arabia.’

Shaun Johnson began his career working in private practice on large infrastructure deals in Australia. Finding himself working in a similar industry in Saudi Arabia, Johnson is in a unique position not only to contrast the in-house role with that of his former life, but also to contrast Australia’s approach to infrastructure development with that of Saudi Arabia’s.

‘Working in the Middle East is a stark contrast to working in other jurisdictions and with other governments. In prior roles I’ve experienced situations where some objectives relating to infrastructure were good for the national interest, but those objectives would often get mired in political football. Of course many Middle Eastern countries are not ruled by elected parliaments, but the unimpeded political desire to want to do better is certainly present,’ he explains.

‘When we look at some of the ambitious development programmes in Saudi Arabia, what we’re basically asking is, is this supported from the top down? And I think what we’ve got here in this region, and in particular in Saudi Arabia, is that the top are saying, “We are ambitious because we want the world’s best practice. We want to achieve international standards. How can you help us make this become a reality?” So there is a strong desire and a willingness to make things happen. That is what Saudi Arabia set out in their Vision 2030 publication. The next step has to be how to implement it. I think public sector capacity building, privatisation and private sector corporatisation will allow both the public and private sectors to achieve the national goals. Of course that’s going to take a bit of time, but I see progress happening every day.’

Megaprojects

The efficiency and drive from the top to transform Saudi infrastructure has manifested in a number of large-scale megaprojects, that not only would usually have been achievable under these timeframes, but perhaps not achievable at all. These giga-projects form a core part of Vision 2030 and include initiatives such as the planned Neom, a smart city powered entirely by renewable energy sources that is expected to cost in excess of USD$500bn, as well as an entertainment resort in Riyadh named Qiddiya, which is expected to cost USD$8bn. All are designed to effect Saudi 2030’s ambition of increasing spending across a diverse array of industries within the Kingdom.

Farah Zafar is chief legal officer for Amaala, a giga-project launched by the Public Investment Fund of Saudi Arabia. Set to play a key role in the delivery of Saudi Vision 2030, Amaala is intended to serve as an ‘uber-luxury’ tourism destination, ultimately covering 3,800km2 of land, mixing the natural (and largely unseen, globally speaking) beauty of the Kingdom with state-of-the-art construction.

‘Amaala will curate truly authentic end-to-end journeys for its visitors and transcend national boundaries, to conceptualise, build and operate an integrated destination that shall become a year-long, exclusive, by-invitation-only, global, purpose-driven community of connoisseurs, pioneers and thought leaders, all connected by a shared commitment to the practice of advancement of arts and culture, wellness and environmental preservation,’ she says.

Given the gargantuan size of these giga-projects and the average length of time to completion (Phase 1 of Amaala is set to open Q4 2020, with a final completion date set for 2028), the need for a steady hand is great. For Amaala, Zafar is that steady hand and, as with many in-house legal roles, the boundaries of Zafar’s responsibilities have long since expanded beyond a purely legal remit.

‘As chief legal officer for Amaala, I am responsible for creating and establishing the regulatory and governance framework required to deliver luxury resorts of this nature in the Kingdom, together with all legal, commercial, construction, infrastructure, development and investment matters thereof,’ explains Zafar.

The role is varied, to be sure, but Zafar brings a wealth of experience managing similar infrastructure projects in the region. This experience includes working directly for the Engineers Office of His Highness Sheikh Mohammed Bin Rashid Al Maktoum in Dubai, serving as the head of capital transactions for Dubai Holding – where Zafar was able to bring in AED 11.3bn worth of project capital to the city – and has acted on behalf of the governments of Dubai, Oman, the Emirate of Ajman and Qatar.

‘I feel as if my past experience has culminated in me being blessed with this role, as I see everything with the clarity required to make Amaala successful from a feasibility, investment, infrastructure, development and construction stand point, not just legal,’ she says.

“I believe recruiting lawyers from different backgrounds and training provides for an excellent working environment.”

‘I am therefore in a unique position to be able to support each and every work stream in Amaala, provide the platform of what they need to deliver,and, with this in mind, I actually drafted a comprehensive project plan which details 1177 deliverables and over 34 work streams to be delivered over the next 9-12 months. That is called clarity.”

Clarity is a word often associated with Saudi Arabia’s vision for the future, and so it is easy to understand why someone with Zafar’s background has been entrusted with a project so vital to that future.

Barriers

Although there is plenty of drive from the top and a glut of talent on the ground able to give teeth to that change, there are still barriers standing between Saudi Arabia and its 2030 Vision.

While Saudi Vision 2030 is intended to ween the Kingdom off oil, the fact remains that it is the largest oil exporter in the world – being home to the second-largest petroleum reserves and fifth-largest natural gas reserves in the world. As such, the status of Vision 2030 is largely contingent on the stability of regularly fluctuating resource prices. Saudi Vision 2030 was announced at a time when oil prices were hitting troughs, and the need to diversify was both apparent and easily sold to the country at large. Oil prices have been steadily rising since that trough and, as such, initiatives aimed at curbing oil dependence (such as fuel tariffs and related price increases) are not as easy for Saudi society to digest.

There is also the purely logistical consideration of the capability of a relatively newly opened business sector to facilitate the kinds of changes envisioned by the Government.

‘There’s a strong desire there and there’s a willingness to make things happen – Saudi Arabia has set this out in its Vision 2030 mission statement – but the next step has to be how do you implement it correctly and efficiently,’ cautions Johnson.

‘I think the public sector is getting up to speed, but putting those processes in place to allow the private sector to come in and help the government achieve its goals will take a little bit of time – but it is happening.’

Culture

To many, Saudi Arabia might be most easily distinguished by its conservatism, which frames public life in a way that isn’t seen to the same degree elsewhere in the region. But this, as with the business sphere, is changing, according to Zafar.

‘The legal arena in Saudi Arabia is taking great strides towards increased diversity. I myself am a major champion of diversity in the workplace, having built a team consisting of women and men from all corners of the world, including the Middle East, Europe, Africa and South America,’ she explains.

‘I believe recruiting lawyers from different backgrounds and training provides for an excellent working environment, as there is rarely a legal issue that arises which one of us hasn’t come across or managed. It is great to also see the increase of women in the workplace in the Kingdom and the talented Saudi women that are big contributors, hardworking and incredibly professional across sectors.’

Dr Al-Oufi agrees, and sees this as an inevitable change in the coming years, as Saudi Arabia works towards its lofty Vision 2030 goals – a factor which will inevitably require the gradual opening of the Kingdom.

‘In general, Saudi Arabia will become a more open society, with more modern education and healthcare, which are the fundamentals of any society. In addition, employment opportunities for both male and female will expand, as society will become more open and accepting of a working environment in which females and males work side by side.’