Conditions For Umrah Companies and Resume Gradually Umrah Services:

Six conditions have been set down by the Ministry of Hajj and Umrah as the conditions for the merger of companies and establishments offering Umrah services. This follows the recent effort by the Ministry to relieve the economic and financial consequences of the Umrah coronavirus pandemic.

The plan comprised a set of guidelines, the main goal being to promote horizontal mergers, acquisitions, and investments in Umrah companies and organizations.

Under the new terms, companies participating in the merger must have a valid license for Umrah services and there should be no complaints before the committee investigating the pilgrims’ complaints during the merger proceedings against their planned merger.

Any sanctions such as temporary suspension of the license or its cancelation during the merger proceedings have been imposed on these firms.

A bank guarantee of its full volume shall be submitted by the companies before the start of the merger procedures. Another restriction applies to combine firms that are not currently approved to provide services to pilgrims. Those companies shall comply with all the specifications set down in the Pilgrim Service Organizing Regulations and its Executive Regulations.

Those companies shall attach to them a letter properly attested to by the Chamber of Commerce from the Umrah company or establishment with which it wishes to merge, including a document of revocation of the license for the services of pilgrims previously granted to it.

Umrah Services to resume Gradually:

 Hajj and Umrah minister of Saudi Arabia  Mr. Muhammad Saleh Benten has said the temporary suspension of the pilgrimage to Umrah and visits to the Two Holy Mosques will be phased.

“The phased resumption of Umrah and the visits will be focused on technological solutions enabling Umrah to provide services to businesses and establishments in order to further develop their services and to market their services at local and global levels,” he said in the second virtual forum.

Mr. Benten mentioned more than Thirty local and foreign companies will be able to manage the distribution of pilgrim services via an electronic route that allows these service providers to do all the required follow-up when serving the pilgrims.

He has said that the merger of Umrah organizations and the establishment would make them strong organizations capable of providing high-quality services annually to some Sixteen million Umrah pilgrims, both domestic and international. During their transitional time, a new smart card will be provided for these companies and this card will be used first to serve travelers from within the Country and internationally to the Prophet’s Mosque. “Thirty million pilgrims will be served by the year 2030 each year,” he said.

Deputy Minister of Hajj and Umrah, Abdul Fattah Mashat, said mergers and acquisitions in the Umrah sector would dramatically reduce operating expenditure and lead to growing operational efficiency and service diversification as assets and financial abilities are increased.

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