Article 4 of the Saudi Contractors Classification Law

This article shows who sets the three components of classification defined in Article 1, namely field, activity and grade, and how.

• Who has the power: the Minister of Municipal, Rural Affairs and Housing, who sets the fields, activities and grades of classification and amends them, by decision of his.
• Controls: the Minister does not do this without limit, but according to controls set by the Implementing Regulations.
• Reference for fields and activities: in setting the fields and activities of classification, reliance must be placed on what is in the National Guide to Economic Activities.

Note that reliance on the National Guide concerns fields and activities according to the text; grades are set by the Minister under the Regulations' controls. Article 5 then deals with another aspect of grades, their financial limits.

The practical effect of this article is that the list of fields, activities and grades is not fixed in the law itself but may change by Minister's decisions. Because Article 3 requires a government project to fall within the contractor's field, activity and grade, it is useful for contractors to follow decisions issued on this subject. The law does not state the names of the fields or the number of grades.