The Gulf’s arbitration transformation
BonelliErede takes a closer look at the strategic reforms in Saudi Arabia, Bahrain and Qatar that are shaping the future of arbitration in the Middle East.
The Middle East’s arbitration landscape has continued to evolve rapidly through 2025, building on the significant advancements witnessed in previous years. Below, we outline significant and innovative developments in Saudi Arabia, Bahrain and Qatar that are set to further influence arbitration practice across the MENA region. This article examines three pivotal developments in Saudi Arabia, Bahrain, and Qatar – each of which signals a strategic push to position MENA jurisdictions as premier hubs for international commercial dispute resolution.
SAUDI ARABIA’S NEW DRAFT ARBITRATION LAW
The Kingdom of Saudi Arabia has recently adopted several legislative, judicial, and executive measures and directives aimed at developing the arbitration ecosystem in the country.
Among these initiatives, the National Competitiveness Center published a draft of a new arbitration law (the “Draft Law”) which was open for public consultation until October 24, 2025. The Draft Law is intended to replace the 2012 Arbitration Law.
The Draft Law aims to modernise Saudi Arabia’s arbitration framework, aligning it more closely with contemporary best practices and the UNCITRAL Model Law.
First, it enhances procedural efficiency and tribunal autonomy. The Draft Law allows proceedings to continue during challenges and authorises the presiding arbitrator to render the award if a majority cannot be formed.
Second, it refines court support by consolidating jurisdiction over set-aside applications and supporting measures in the Commercial Court of Appeal. A specific court – the Riyadh Commercial Court of Appeal – is designated for international commercial arbitration by party agreement. Further, certain orders (e.g., enforcement and set-aside rulings) are expressly appealable to the Supreme Court, reducing procedural uncertainty and reinforcing confidence in Saudi-seated arbitrations.
Third, it broadens party autonomy and aligns qualifications with international practice. The 2012 requirement that the presiding arbitrator hold a Sharia or law degree is replaced with a general capacity and impartiality standard, with no nationality constraints unless the parties agree otherwise. The Draft Law also clarifies the law applicable to the arbitration agreement, which is to be determined by party choice or, failing that, by the law of the seat. This change enhances legal certainty and aligns the Kingdom’s approach with leading international arbitration jurisdictions.
Fourth, it safeguards arbitrators by expressly limiting their personal liability to cases of fraud or gross professional misconduct. This is intended to attract a wider pool of qualified arbitrators to Saudi-seated arbitrations, improving the quality and credibility of arbitral decision-making.
Fifth, it strengthens interim relief by codifying interim measures and defining the “emergency arbitrator” in line with the Rules of the Saudi Center for Commercial Arbitration. The Draft Law also streamlines enforcement by removing the award deposit requirement and allowing a 60-day period to cure defects before a final refusal of enforcement or annulment. It further clarifies that interim and partial awards are enforceable, resolving prior ambiguity.
Sixth, it modernises procedural formalities, consistently with international arbitration best practices. It expressly permits electronic notices and the electronic signing of awards, and it allows awards to be signed outside the place of arbitration.
Seventh, it provides grounds for annulment mirroring the Model Law and adding an express ground for violations of Sharia.
Collectively, these reforms strengthen the enforceability of arbitral decisions and enhance confidence in Saudi-seated arbitrations, positioning the Kingdom as a jurisdiction capable of delivering timely and reliable remedies in complex commercial disputes.
The Draft Arbitration Law remains subject to amendment. Once approved, it is expected to enter into force 30 days after publication in the Official Saudi Gazette. Its implementation would advance Saudi Arabia’s Vision 2030 goal of creating a trusted, modern and globally competitive dispute resolution environment.
BICC: A NEW JUDICIAL ERA FOR THE MENA REGION
Bahrain’s launch of the Bahrain International Commercial Court (BICC) on November 5, 2025 marks one of the most significant developments in the region’s dispute-resolution landscape in over a decade.
Designed as a fully international, English-language commercial court, the BICC offers a judicial model unprecedented in the Middle East: a domestic court with a built-in, transnational appeal mechanism to the Singapore International Commercial Court (SICC). This hybrid structure represents a decisive shift in how MENA jurisdictions position themselves within global commercial litigation networks.
The BICC – whose jurisdiction is triggered solely by party agreement – is conceived as a specialist forum for complex, cross-border commercial disputes and arbitration-related matters. Its framework (set out in Royal Decree No. 9 of 2024) prioritises procedural transparency, disciplined case management, and cross-border enforceability, and underscores Bahrain’s ambition to offer litigation standards familiar to multinational businesses accustomed to Singaporean or English commercial courts. Although seated in Bahrain, the BICC is not a domestic court in the conventional sense – it is an international commercial forum structured around principles of transnational justice.
The court is headed by President Jan Paulsson, among the world’s leading figures in international arbitration, with Christopher Greenwood KC, former judge of the International Court of Justice, serving as Deputy President. The bench brings together eminent jurists from multiple jurisdictions, including several Bahraini judges whose involvement ensures regional relevance and continuity.
Importantly, the BICC does not replace the existing Bahrain Chamber for Dispute Resolution (BCDR), which continues to handle certain high-value, international commercial disputes.
What truly distinguishes the BICC is its pioneering appellate architecture. Rather than a purely domestic appeals tier, Bahrain has adopted a collaborative model under which BICC judgments may be reviewed by an International Committee of the SICC, composed of Singaporean judges alongside selected BICC judges. For international investors – long concerned about predictability and neutrality in parts of the MENA region’s legal systems – this link to Singapore offers a powerful assurance: participating in litigation in the region no longer requires compromising on appellate quality.
In short: the BICC gives the Middle East not just a new court, but a new model – one that marries regional accessibility with globally recognised judicial standards, and that could reshape how commercial justice is delivered in the MENA region.
THE QICCA UNVEILS NEW ARBITRATION RULES
The Qatar International Centre for Conciliation and Arbitration (QICCA) has issued its long-awaited 2024 Arbitration Rules, which came into force on January 1, 2025. This represents one of the most significant updates to Qatar’s arbitration infrastructure in over a decade, positioning QICCA to operate at the same level as major international and regional arbitration centres.
The 2024 version is significantly more comprehensive than the 2012 rules, expanding from 48 to 78 articles across seven chapters. This is more than a simple update – QICCA’s institutional role has been clearly clarified to ensure administrative neutrality and to prevent any overlap between case management and tribunals’ decision‑making. Notably, the previous requirement for tribunals to act as amiable compositeur has been replaced by an opt‑in mechanism, allowing parties to decide whether their tribunal may exercise such discretion while maintaining the primacy of the law chosen by the parties.
Expedited procedures apply automatically to disputes under QAR 1 million or by party agreement, with awards being issued within 90 days by a sole arbitrator. This means smaller commercial disputes can now be resolved rapidly and proportionately. The emergency arbitrator mechanism fills a long-recognised gap. Tribunal constitution can be slow, particularly in cross-border disputes, often leaving parties without timely access to interim relief. Under the new provisions, emergency measures can now be secured in as little as 15 days, bringing QICCA in line with leading global institutions such as the ICC and SIAC.
QICCA has also taken a meaningful step toward greater transparency, introducing mandatory disclosure of third-party funding and allowing anonymised publication of awards unless the parties opt out. This is a notable evolution which reflects a regional trend toward more accountable arbitral processes.
Electronic submissions, virtual hearings and digital signatures are expressly permitted, and consolidation and joinder rules are strengthened for multi-party and multi-contract disputes.
The 2024 QICCA Rules position Qatar more competitively alongside the DIFC-LCIA, the ADGM Arbitration Centre, and Bahrain’s BCDR. While the DIFC and ADGM offer common-law court environments with strong arbitration ecosystems, QICCA’s reforms address a different strategic space: enhancing the functionality of arbitration within a civil-law jurisdiction while embracing the procedural innovations that have made regional free-zone courts attractive. At the same time, Qatar’s new transparency and emergency-relief mechanisms create convergence with the more mature frameworks in the UAE, helping reduce the fragmentation that previously characterised MENA arbitration practice.
What emerges is a distinctly regional model that draws on international standards without abandoning local structure. The 2024 QICCA Rules make Qatar a more compelling venue for cross-border arbitration and contribute to the maturation of the Middle East’s dispute-resolution architecture. As competition between regional centres intensifies, Qatar has taken a confident and timely step to ensure that its arbitral offering remains credible, efficient and aligned with global expectations.
Conclusion
The recent developments in Saudi Arabia, Bahrain, and Qatar signal a profound transformation of the Middle East’s dispute resolution landscape. Collectively, these reforms demonstrate more than just an alignment with international standards; they reflect a strategic and competitive push by key MENA jurisdictions to become premier global hubs for arbitration and commercial dispute resolution. By prioritising efficiency, transparency, and innovative structural solutions, the region is not merely adopting established norms but actively shaping the future of international commercial justice.
Text by:
- Andrea Carlevaris, co-head of international arbitration practice, BonelliErede (Rome)
- Michela D’Avino, senior counsel, international arbitration, BonelliErede (Milan)
- Letizia Santin, associate, international arbitration, BonelliErede (Dubai)
