Saudi Arabia allows businesses to issue or renew their employees’ resident permits (Iqama) for a period of a minimum of three months. In this regard, Saudi banks have begun updating their government payment systems for the issuance and renewal of residency permits linked to work permits for a minimum of three months, local media reported.

Payments of the iqama fee can now be made on a quarterly or half-yearly basis. According to recent amendments to the government payment system, banks will accept the payment of the work permit fee for a minimum of three months or its multiples of six months, nine months, or a full year.

Work permits are required for the issuance and renewal of Iqama. For the renewal of a work permit, employers must pay the expatriate fee, which is SR 800 per month and SR 9,600 per year. Expatriates with dependents will be required to pay an additional SR 400 per month for each dependent.

However, quarterly payments will not be allowed for the issuance and renewal of Iqama for domestic workers who do not require work permits.

Small businesses with fewer than nine employees, including a full-time Saudi employer, will be exempt from paying the expatriate fee for two employees. The fee exemption will be increased to four workers if the workers include one Saudi citizen in addition to the full-time employer.