Saudi Arabia is seeking a more comprehensive strategy to deal with the risks posed by organisations regarding artificial intelligence. The Saudi Data and Artificial Intelligence Authority (SDAIA) has announced a new system for dealing with risks resulting from AI, called the Saudi National Artificial Intelligence Risk Management Framework, to create a comprehensive system for the management, assessment, treatment, and monitoring of AI risks by the government and other public and private entities.
The transfer comes as a continuation of the rising trend of AI being used in business and public services. Unlike traditional software, AI systems can act out of the ordinary, adaptively change over time, and even generate outputs that are challenging to explain or replicate. To address those characteristics, SDAIA states that there needs to be a more integrated approach to risk management.
A common rulebook for handling AI risks
The new framework is designed to be a national reference for organizations that deploy and/or plan to deploy AI.
The framework takes a holistic lifecycle approach to risk management; rather than relying on individual organizations to handle it, it provides one approach to managing risks throughout the AI lifecycle. It involves several steps, including setting the context and scope of an AI system, identifying and evaluating risks, addressing risks, and then continually monitoring and reviewing the risks.
The risks are assessed according to the likelihood of the risk occurring and the extent to which it could impact the property. This helps provide a fair basis for risk comparisons and/or prioritization of issues to address.
The framework is shared as guidance for both public and private organizations to support Saudi Arabia’s overall goal of encouraging responsible use of AI.
The framework goes beyond technical failures
One of the things that’s interesting is that AI risk is not just considered a cybersecurity problem or software problem.
The principles of SDAIA are organized into Integrity and Fairness, Privacy and Security, Humanity, Reliability and Safety, Transparency and Explainability, Accountability and Responsibility, and Social and Environmental Benefits.
It also stresses seven principles on AI risk that encompass privacy and data protection, cybersecurity, fairness, reliability and safety, transparency/explainability, accountability, and social and environmental impacts.
This is because, as a concept, this is important: regardless of whether or not the software that the AI system is running on is functioning properly, the AI system can cause issues. A model might, for instance, be unfair, reveal sensitive data, be unpredictable, or make decisions that are not easy to comprehend.
What changes for organizations using AI?
The framework offers a practical approach for companies and government institutions to consider AI risk related to deployment and prior to deployment.
Risk Management is not just a technical check at one time, but is encouraged to continue monitoring as systems are running. This is especially true with AI models that can adapt their actions or performance based on the data they are exposed to, users, or new environments.
SDAIA has also added an applied scenario in which a government organization has an AI model to prepare internal reports. The example illustrates the identification, assessment, treatment, and monitoring of risks within an actual organisation.
The framework’s goal is not just to be relevant to high-tech AI labs but also to extend its impact to all sectors and levels of digital readiness.
Saudi Arabia is building a wider AI governance system
This new risk framework is set to be included in a comprehensive set of AI government frameworks in Saudi Arabia. SDAIA has additionally created AI Ethics Principles, AI Generative AI Guidance, and an AI Adoption Framework that will help guide responsible use of AI in various industries.
Additionally, 2026 is Saudi Arabia’s Year of Artificial Intelligence, and SDAIA is the national body to spearhead the country’s work on the adoption of AI, its infrastructure, skills, and governance.
The one thing that is clear for organisations making more and more use of AI is that managing AI risk is now a constant governance exercise and not just an issue when it arises. With the launch of King Abdullah’s visionary framework, the Saudi national structure has been provided for the process, and the kingdom’s AI ecosystem continues to grow.
