Ministry of Finance (Saudi Arabia)

The Ministry of Finance (MoF; Arabic: وزارة المالية) of Saudi Arabia is the principal body for controlling state expenditure in Saudi Arabia. It is currently led by Mohammed Al-Jadaan.

Ministry of Finance
Logo of the Saudi Ministry of Finance.jpg
Government agency overview
Formed14 May 1932 (1932-05-14)[1]
JurisdictionGovernment of Saudi Arabia
HeadquartersRiyadh, Saudi Arabia
Minister responsible
WebsiteOfficial English Website

HistoryEdit

When instructions were issued by the Kingdom of Hejaz that financial matters were to be managed by a finance directorate, a single entity in the form of a General Directorate of Finance was established on 14 October 1927. Royal Order No. 381 was issued on 14 May 1932 changing the name of the General Directorate of Finance to the Ministry of Finance, thus becoming the second ministry to be established after the Ministry of Foreign Affairs. The Ministry of Finance was tasked with regulating, managing and securing the collection of state funds, and oversight of expenditures, and became the general authority for financial matters in the Kingdom of Hejaz and Nejd and its territories. Royal Decree No. 1697 was issued on 27 June 1953 establishing the Ministry of Economy to replace the Bureau for Economic Affairs. Royal Decree No. 31 was issued on 4 September 1954 merging the Ministry of Economy and the Ministry of Finance into a single ministry called the Ministry of Finance and National Economy. Royal Order No. 2/A was issued on 1 May 2003 transferring responsibility for economic activity from the above-mentioned ministry to the Ministry of Planning, thus changing the name of the Ministry of Finance and National Economy to the Ministry of Finance, and the name of the Ministry of Planning to the Ministry of Economy and Planning.

The Ministry owns the Istidama Holding Company, which on 23 April 2018, received the 36.2% stake of the Saudi Binladin Group owned by Bakr bin Laden and his brothers Saleh and Saad.[2]

Government bodies established by the Ministry of FinanceEdit

In 1936, as the activities of the Ministry of Finance expanded in scope, a number of general directorates were established within the ministry (later turned into independent government bodies), including:

  • Petroleum and Minerals Directorate
  • Public Works Directorate
  • Customs Directorate
  • Agriculture Directorate
  • Hajj, Endowment and Radio Affairs
  • Personnel and Retirement Bureau
  • Labor Bureau
  • Institute of Public Administration
  • Postal Directorates
  • Roads Authority
  • Railway Authority
  • Real Estate Development Fund
  • Saudi Industrial Development Fund
  • Saudi Credit & Saving Bank
  • Agriculture Development Fund
  • Public Investment Fund
  • General Authority of Zakat & Tax
  • Public Pension Agency
  • General Authority of Statistics
  • Urban Projects Bureau
  • Saudi Contractors Authority

FunctionsEdit

One of the tasks of the ministry is to collect zakat from companies owned by Saudi citizens and citizens of other Gulf countries.[3] The ministry transfers these funds to the Ministry of Social Affairs which allocates them to unemployment programs and social security payments.[3]

MinistersEdit

 
Mohammed bin Ali Aba Al Khail in 1979

The ministers of finance are as follows:[4]

ReferencesEdit

  1. ^ "Historical Background". www.mof.gov.sa.
  2. ^ Katie Paul; Tom Arnold; Marwa Ashad; Stephen Kalin (27 September 2018). McBride, Janet; Woods, Richard (eds.). "Special Report: As a Saudi prince rose, the Bin Laden business empire crumbled". Reuters.
  3. ^ a b Miriam R. Lowi (Autumn 2017). "Justice, Charity, and the Common Good" (PDF). Middle East Journal. 71 (4): 577.
  4. ^ "About Ministry". www.mof.gov.sa.
  5. ^ J. E. Peterson (2003). Historical Dictionary of Saudi Arabia (2nd ed.). Scarecrow Press.

External linksEdit