SAMA Updates Implementing Regulation of Finance Companies Control Law

The Saudi Central Bank (SAMA) announced the issuance of the updated Implementing Regulation of the Finance Companies Control Law as part of SAMA's supervisory and regulatory role over the finance sector and its continuous efforts to support the sector's stability and growth.

 The updates aim to regulate the requirements for practicing all financing activities. These include updating the aggregate finance amount offered by a finance company, supporting companies applying for a license by updating the bank guarantees required to submit the licensing applications, revising provisions relevant to related parties, and handling cases of expiration of licenses granted to finance companies.

 The updates repeal the Rules Regulating Consumer Microfinance Companies and the Rules of Engaging in Microfinance Activity, and they amend the Rules of Licensing Finance Support Activities.

 SAMA previously published the updated draft of the Implementing Regulation of the Finance Companies Control Law, seeking comments and feedback from the public and experts. The comments and feedback received were carefully reviewed and reflected in its final version. To view the updated Implementing Regulation of Finance Companies' Control Law and the updated Rules of Licensing Finance Support Activities, visit SAMA's website.