Initiatives and Regulations

​​​​​​​​Under the umbrella of Promotion of Local Industry Initiative, this initiative aims to encourage industrial MSMEs to issue the local content certificate and contribute to achieving local content targets, by covering the cost of auditing local content or part of it that is provided by audit offices.​

​ Initiative Objectives:

Encouraging industrial MSMEs to develop local content.

Motivating small and medium factories to issue the local content certificate by covering its cost.​

Tracks of Coverage :

• Micro-sized factories.
• Small-sized factories.
• Medium-sized factories.
  

Conditions for Participating in the ​Initiative: ​

• The entity should be classified as MSMEs and must submit Monsha'at certificate as proof.
• The entity should have an active commercial register and an industrial license.
• The entity needs to obtain proof of eligibility document for the initiative.
  
• The entity must have a local content certificate for the financial statements for the year 2022 or later.
• The entity shall submit a coverage application - after obtaining the local content certificate - to LCGPA within a period not exceeding ninety (90) days from the issuance date of the eligibility document.
• The entity should have an active bank account within Saudi Arabia.
  
• Submitting audited financial statements for the period being measured.
  
• Submitting a signed engagement letter with the audit firm to measure the percentage of local content for the period being measured.
  

Note: The priority of benefiting from the initiative will be determined according to the Saudization percentage at the factory. This will be for all factories that have a "Made in Saudi Arabia" mark as well.

The Journey to Participating in the Initiative:

1. Log in to the E-services page (Click here)
2. Fill out the application form to be reviewed by LCGPA.
3. LCGPA reviews the application form and informs the factory of its approval. This is followed by the provision of a Proof of Eligibility Document or rejection of the application.
4. Complete the procedures for issuing the local content certificate (To learn the steps for issuing the certificate, Kindly visit this page.)
5. Submit the documents required to cover the cost of auditing the local content provided by the auditing offices.
6. Obtain coverage according to the initiative's terms and conditions.
   

For further information, please visit this page​​

Coverage Requirements to be Submitted by the entity:

• The Proof of Eligibility Document issued by the LCGPA.
• Certified local content certificate.
• Proof of payment to the audit office (bank transfer, invoice, and payment receipt).
• The letter from the factory requesting coverage.
• Proof that the factory has an active Saudi bank account.