Employees working in the private sector will have a day off next Thursday to celebrate Al Hijri New Year.
The exact date of Al Hijri New Year is dependent on the moon sighting, but it is expected to fall on Tuesday September 11 and run into Wednesday, both of which will be working days.
On Monday, the Cabinet announced that the public sector would have Thursday, September 13 off to mark the occasion, which does not involve public celebrations or events.
Al Hijri New Year is considered to be a day dedicated to faith, when Muslims honour the origins of Islam and reflect on the passage of time.
Hotels and bars are asked to refrain from hosting live entertainment and alcohol is usually not served for 24 hours.
The New Year marked the arrival of the Prophet Mohammed in Madinah after he emigrated from Makkah, an occasion that led to the establishment of the first Muslim community based on Islamic teachings.
Known as the Hijra, the migration marked the beginning of the Islamic era, or 1AH, in 622AD.
The Islamic year consists of 12 lunar months. It is 10 to 12 days shorter than the Gregorian year.