Ministries start moving to permanent headquarters from leasing to legacy
The government plan to relocate the headquarters of ministries, government institutions and agencies from rented buildings to permanent government facilities is moving steadily forward.
Several institutions have already begun taking executive measures to vacate their leased premises ahead of schedule, with clear timetables for relocation in place months before the expiry of existing contracts.
According to informed sources, the Ministry of Commerce and Industry has officially notified landlords of its decision to vacate two rented premises by the end of October, in line with the directives issued by the Ministry of Finance. Starting November, the ministry’s expenditures on these temporary facilities will cease entirely, reports Al-Rai daily.
The affected offices include the Anti-Money Laundering and Counter-Terrorism Financing Department, which will be transferred to the ministry’s Single Window Department in Ishbiliya, and the Trademarks and Patents Department, will move to the Ministry of Commerce building at the Ministries Complex.
The officials confirmed that this move aligns with the Cabinet’s directive to control and rationalize public spending without disrupting the operations of state institutions. By vacating its leased offices, the Ministry of Commerce is expected to save approximately half a million dinars annually.
The sources stressed that the ministry’s decision to leave early — before the contractual end date — was within its rights, provided it notified landlords two months in advance. This makes the Ministry of Commerce the first government body to implement the cost-cutting directives of the Ministry of Finance.
The broader government relocation plan covers nearly 15 leased contracts across multiple agencies, with annual rental values ranging from 400,000 to one million dinars each. In total, the state currently spends about 60 million dinars annually on temporary headquarters, warehouses, and housing for employees such as judges and medical staff.
While some entities have already identified new permanent offices, others remain in negotiations to secure suitable space. The Capital Markets Authority, for example, is expected to remain in its current rented premises until construction of its new headquarters is complete, due to the sensitive nature of its operations.
The Ministry of Finance has emphasized that any extensions of existing leases granted earlier this year will be the final ones. All ministries and agencies are expected to complete their transition into permanent government buildings by the end of this year.
Additionally, the plan requires agencies to avoid clustering in the capital, both to ease congestion and to reduce costs associated with high-value rentals in central areas. Where possible, ministries will be rehoused in underutilized government buildings, either individually or in shared facilities, depending on their staffing and space requirements.