Data from the government-run Eisar Committee, based on records from the courts in Riyadh, Dammam, Madinah, Jeddah, and Buraidah, show that 62 Saudi companies were either formally declared bankrupt or began preliminary bankruptcy proceedings during July 2026.

This brings the total number of Saudi companies that have either gone bankrupt or entered bankruptcy proceedings between 1 January 2026 and 30 July 2026 to 419, as follows:

🗓️ July: 62 companies
🗓️ June: 64 companies
🗓️ May: 63 companies
🗓️ April: 55 companies
🗓️ March: 55 companies
🗓️ February: 48 companies
🗓️ January: 72 companies

Court System Under Pressure

As bankrupt companies are referred to the courts to oversee the bankruptcy process, the judicial system has come under severe strain due to a caseload exceeding the courts’ capacity. This situation is expected to lead to protracted legal disputes that could last for many years, given that thousands of individuals and hundreds of organisations are seeking to recover outstanding debts from the insolvent companies. These include employees, banks, parties to complex project contracts, and numerous other creditors.