False Discounts in Arab Markets: What Saudi, UAE and Egyptian Law Say Before White Friday

A discount that is not real is a violation in all three markets. Saudi Arabia lets its ministry fine online stores up to SAR 1,000,000, Egypt fines false discount claims EGP 50,000 to 2,000,000, and the UAE lists AED 100,000 for misleading price announcements. White Friday falls on 27 November 2026, five weeks from now, so the proof of your old price has to exist before the first ad runs.
We read the primary texts on 22 October 2026: the Saudi Ministry of Commerce service page, the UAE legislation portal and an English translation of Egypt’s Law 181 of 2018. This is not legal advice. Each regulator link below is where to confirm the current wording.
Which rule covers a false discount in each market?
Each country handles false discounts differently. Saudi Arabia treats them as a false offer under its E-Commerce Law and runs a separate sales licence. The UAE names fake discounts in its consumer protection law and requires a prior licence. Egypt lists false discount claims as a deceptive practice with the highest fine band.
| Question | Saudi Arabia | UAE | Egypt |
|---|---|---|---|
| Where is the false discount rule? | E-Commerce Law, Article 11 (false offer or statement); Ministry sales licence | Federal Law 15 of 2020, Articles 1 and 17 (fake or untrue discounts are misleading advertising) | Law 181 of 2018, Article 9 (false claims of discounts) |
| Licence before announcing a discount? | Yes, Ministry of Commerce sales licence, fee 300 per shop | Yes, prior licence from the competent authority (Article 18) | No discount licence in the law text we read; contests need 3 days’ notice |
| Arabic required in ads? | Not checked in the sources we read | Yes, Arabic as a minimum (Article 26) | Not checked in the sources we read |
| Top fine we found | SAR 1,000,000 plus blocking of the store | AED 2,000,000 and/or 2 years (general maximum); AED 100,000 for a misleading price announcement | EGP 2,000,000 or twice the product value, doubled on repeat |
Sources: Saudi Ministry of Commerce news, 15 September 2025; UAE Federal Law 15 of 2020; Egypt Law 181 of 2018 (English translation, not an official text).
What does Saudi Arabia require before you announce a discount?
A Saudi store needs two things: a Ministry of Commerce sales licence and an advertisement that contains no false offer. The licence covers the discount itself. The E-Commerce Law covers what the ad says. Breaking the second rule can cost up to SAR 1,000,000, a blocked website or a ban from the activity.
The Ministry’s Sales Licensing page, last modified 16 September 2026, sets the conditions. The trader holds a commercial registry, commercial agency or trademark. The application attaches the list of discounted products and the price list before and after the sale. The page states that the share of discounted products must not be less than 50%, and the fee is 300 per shop. The licence prints electronically and the service is immediate.
The 2026 season changes the timing. Sabq reported on 21 July 2026 that the “Discounts 2026” season runs from 1 August to 31 October and that season discounts do not count against a store’s annual allowance. Customers can scan the QR code on the licence to see the discount type, percentage and duration. The season ends 27 days before White Friday, so a late November sale falls under the normal annual rules. Our earlier post on the discount-day allowance and Google Ads automated promotions has the day counts.
The Ministry shows it acts on misleading ads. In September 2025 it ordered a perfume store to remove a prize ad that showed a luxury car and a committee fined the owner. Article 12 of the law, as summarised by Lexis Middle East, lets the Ministry order a violating ad withdrawn within one day of notification.
Takeaway: in Saudi Arabia the licence number and the price list are part of the campaign, not paperwork for later.
What does the UAE require, and why does Arabic matter?
UAE law asks for a prior licence, a true price and Arabic. Federal Law 15 of 2020 bars general discounts and promotions until the competent authority licenses them, treats fake discounts as misleading advertising and bars charging more than the advertised price. Ads and invoices need Arabic, with other languages allowed beside it.
Three details matter for an online store. First, the executive regulation (Cabinet Decision 66 of 2023) says a provider must tell the consumer if a discount starts within one week of a purchase, and a consumer who was not told can recover the difference within 30 days. A store that drops prices on Friday morning owes its Thursday buyers a notice. HLC and Pinsent Masons both report the same one-week and 30-day rule.
Second, Annex 2 of that decision, as published on the legislation portal, lists AED 100,000 for failing to announce prices clearly and AED 100,000 for announcing them misleadingly. The portal text has numbering that does not match cleanly, so confirm the line with your lawyer. Third, the Arabic rule hits English-only landing pages. A Dubai store running an English offer page with no Arabic terms is outside Article 26 on its face.
Dubai and Abu Dhabi economic departments historically issued the promotion permit; Al Tamimi’s 2016 note says so, but it does not cover discounts and is dated. Check the current permit on the Dubai and Abu Dhabi economic department service pages before launch.
What does Egypt’s consumer law say about discount claims?
Egypt has no separate discount licence in the law text, but it has the heaviest written fine for a false claim. Article 9 bans false claims of discounts. Article 66 sets EGP 50,000 to 2,000,000, or twice the product’s value if greater. Article 69 doubles the fine for a repeat offence.
The Consumer Protection Agency can also act on the ad itself. Under Article 57, if an advertiser does not correct a misleading ad within three days of the request, the Agency may suspend it for up to seven days, and ignoring the suspension carries EGP 50,000 to 1,000,000. Article 75 requires a conviction to be published in a daily newspaper and online at the offender’s expense, which is a reputation cost beyond the fine.
Other articles bear on a sale page. Article 7 requires prices inclusive of all taxes and charges, with fines of EGP 10,000 to 500,000. Article 37 requires the duration of an offer to be disclosed before a distance contract, and Article 38 bars later notices that differ from the original offer. Giveaways need a notice to the Agency at least three days ahead, and the ad carries the notification number.
Want a second pair of eyes on your sale pages? Review my White Friday landing pages.
What should an Arab store check before White Friday ads go live?
Five checks cover most of the exposure in the three texts above: a dated price history, a matching price everywhere, Arabic offer terms, a visible licence, and a stock claim you can back. Each takes under a day for a store with a clean product feed, and each answers a line in at least one law.
- Export the 30-day price history. Keep a dated file showing the old price for each discounted product. It is your proof against a false-discount complaint in all three markets.
- Match the price in ad, feed, page and cart. The UAE bars charging above the advertised price, and Merchant Center can disapprove products whose price changes too often, as we covered in our Merchant Center price audit.
- Publish the offer terms in Arabic. The UAE rule is explicit. Put the same terms in Arabic on Saudi and Egyptian pages so one set of wording runs in every market.
- Show the licence. In Saudi Arabia, display the sales licence so the QR code can be scanned. In the UAE, keep the permit reference on file.
- Remove stock and timer claims you cannot back. Egypt’s executive regulation lists false stock claims as deceptive. A countdown that resets or an “only 3 left” label on a full warehouse is the same risk.
Creator posts need the same care. Our note on influencer and advertiser permits lists the permits a campaign needs, and the rules on fake reviews in Saudi Arabia and the UAE cover the proof side of testimonials.
Our read
The cheapest control is a dated price log. Every rule above turns on one question: was the old price real? An export of each product’s price history, taken before the sale starts, answers it. Build to the UAE standard in all three markets: licence on file, Arabic terms and one price everywhere.
We would also stop writing “up to 70% off” in ad copy unless a product on your price list really sits at 70%. Saudi Arabia ties the licence to the price lists you attach, so the headline number should come from the same file. A headline the file cannot back is the easiest claim for a regulator or a competitor to challenge.
FAQ
My competitor shows “70% off” every week and nothing happens. Can I do the same?
The written rules do not depend on who gets caught. Saudi Arabia can fine up to SAR 1,000,000 and block a store, and Egypt doubles fines on repeat. A rival that has not been fined yet is not a licence for your store.
Does the Saudi 50% rule mean every discount must be 50% or more?
The Ministry page says the percentage of discounted products shall not be less than 50%. We read that as a share of products, not the depth of each discount, but the page does not spell it out. Confirm the reading with the Ministry on 1900 before you file the list.
I sell in the UAE from a Saudi store. Which licence applies?
A Saudi licence does not cover a UAE offer. The UAE Ministry’s legislation page says the consumer protection law applies to e-commerce where the supplier is registered in the UAE, so a foreign seller’s position is a question for a UAE lawyer. List each market you advertise in and check its licence separately.
Do these rules apply to a coupon code?
A coupon is a price reduction, so a false claim about it is the same offence. The UAE law defines discounts as lower prices for a specified period and promotions as including special offers. Treat a code like any discount: real old price, licence where required, Arabic terms.
What if Google Ads adds a promotion to my ads without my input?
The advertiser is still the one who announced it. Google’s automated promotions pull offers from your site, so a wrong or expired offer there becomes your ad. Check the account-level setting and the offer text before sale week, as our automated promotions post explains.
Could you show a regulator your old price today?
If you can hand over the old price, the licence and the Arabic terms today, plan the sale and run it. If you cannot, build the price log and the licence file first, then write the ads. Check my sale-week ad setup.
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