المملكة: Accreditation for practitioners and licensing for companies.. New rules for internal auditors

Licensing consulting companies

The new project divides the paths of regulating the profession into two main sections, the first is professional accreditation for individuals, and includes the two categories of “practitioner” for workers in establishments, and “consultant” for those specialized in providing services. Consultancy, while the second section is concerned with licensing consulting companies that provide internal audit services as an external party.

The proposed rules set strict conditions for obtaining professional accreditation. For the “practitioner” category, two paths were established: the first “direct” for holders of recognized professional certificates such as “CIA,” and the second “qualifying” for those who do not hold them, which requires passing a specialized program within 90 days.

As for the “consultant” category, it requires a university qualification, a valid professional certificate, and no less than five years of experience, including three in leadership positions.

Internal audit services in Saudi Arabia

With regard to companies, the rules confirmed that no local or foreign company will be allowed to provide internal audit services in Saudi Arabia unless it obtains a license. From the Authority.

One of the most prominent conditions for licensing is that one of the partners must be a Saudi who holds a “consultant” accreditation, and that all of the company’s technical workers must obtain a “practitioner” accreditation, in addition to proving financial solvency and providing a headquarters and appropriate technical systems.

The project requires all those professionally accredited to complete 20 hours of continuing professional education annually as a condition for renewing the accreditation. 40% of these hours must be provided directly by the Authority.

The project also obligated accredited and licensed companies to adhere to international standards of professional conduct, and to cooperate fully with the oversight and inspection processes conducted by the Authority.

Opening the door for submitting applications and evaluating companies

To implement these rules, the Authority granted existing companies that provide internal audit services a transitional period to correct their situations extending until the end of the year 2026, during which the door will be open for submitting applications, evaluating companies, and issuing licenses to those who meet the conditions, with the launch of a specialized support office to provide free consultations during this stage.

The rules regulated the financial compensation for services, as the fees for studying an application and issuing a “practitioner” accreditation amounted to 1,000 riyals, while it amounted to 3,000 riyals for the “consultant” category.

And at the corporate level, The fees for studying the license application were set at 40,000 riyals, and the annual issuance fees were set at 10,000 riyals.