Amendments to the Certified Appraisers Fellowship and the Professional Practice Requirement
The Saudi Authority for Accredited Valuers (Taqeem) has announced new regulatory updates aimed at developing the valuation sector in the Kingdom of Saudi Arabia. These amendments include a requirement for a minimum of 50% practical professional experience as a prerequisite for obtaining the Certified Valuers Fellowship. This step comes as part of ongoing efforts to enhance the efficiency of professionals in this vital sector and to qualify national talent according to the highest international standards, ensuring the accuracy and reliability of valuation processes across all its branches.
Historical background of regulating the appraisal profession in the Kingdom
The Saudi Authority for Accredited Valuers (Taqeem) was established by royal decree to regulate the valuation profession in the Kingdom of Saudi Arabia. Since its inception, the Authority has worked to develop laws and regulations that ensure the organization and advancement of the profession and raise the scientific and technical standards of its members. The fellowship certificate is considered the highest professional standard sought by specialists in real estate valuation, economic establishment valuation, machinery and equipment valuation, and vehicle damage assessment. These recent amendments represent the culmination of a long history of academic and practical development within the Kingdom's investment environment.
The importance of professional practice for obtaining the Certified Appraisers Fellowship
The requirement of at least 50% practical experience to obtain the Certified Valuers Fellowship reflects the Authority's desire to balance academic knowledge with applied field experience. Valuation is not merely about mathematical equations or economic theories to be studied; it is a practical endeavor that demands a deep understanding of market variables, supply and demand dynamics, and real-world risk analysis. This requirement ensures that fellowship recipients possess the competence and practical ability to make sound valuation decisions that protect the rights of all parties and prevent price distortions in the market.
Expected effects of the amendments on the economy and investment
These amendments have significant positive implications at the local, regional, and international levels. Locally, raising the standards for obtaining the fellowship enhances the banking and financial sector's confidence in appraisers' reports, facilitating real estate and investment financing and reducing the percentage of non-performing loans. Regionally and internationally, aligning Saudi appraisal standards with international standards (IVSC) makes the Saudi market an attractive environment for foreign investment, assuring international investors that assets appraised in the Kingdom are subject to rigorous oversight and professional standards comparable to those applied in major global markets.
The future of the valuation sector under Saudi Vision 2030
These developmental steps are directly aligned with the objectives of Saudi Vision 2030, which aims to diversify national income sources and build a robust, knowledge-based, and transparent economy. Empowering national talent and equipping them with the necessary skills through continuous training and development programs will ensure sustainable growth in the real estate, industrial, and financial sectors. The new amendments are expected to contribute to creating a new generation of certified appraisers capable of leading the economic transformation and actively participating in the major projects currently underway in the Kingdom.
