The Saudi Authority of Auditors and Accountants has announced a series of new controls aimed at requiring formal licenses to practice the profession of financial consulting (excluding securities), strictly prohibiting any irregular activities, strengthening supervision in the sector, improving the quality of services and protecting customers from unprofessional conduct.
Regulations approved by the authority’s board of directors state that the practice of financial consulting is limited to full-time Saudi nationals, with strict qualification requirements such as educational background, work experience, passing an approved training program, and membership in the authority before commencing activities.
The authorities said part-time practitioners will not be allowed to continue offering consultations for more than three years, and stressed that they will face strict regulatory action if they find themselves in breach of control.
In the framework of strengthening professional discipline, the authorities have approved a scale of penalties starting from a warning and ending with suspension of practice and permanent revocation of the license in case of loss of one of the qualification conditions or repeated violations.
The new regulations also required licensees to retain draft reports and working papers for at least 10 years, in addition to providing the authorities with detailed annual data on the nature of services provided and beneficiaries, in a manner that increases transparency and ensures compliance with recognized professional standards.
