The Saudi Central Bank (SAMA) issued the Annual Performance Report of the Saudi Finance Companies Sector 2022.
The report outlines the sector’s key developments and financial results in 2022.
According to the report, most indicators in the finance companies sector “grew at varying rates in 2022.”
The paid-up share capital increased “by 0.6% to SAR 14.64 billion, net income by 3.3% to SAR 1.86 billion, and total assets by 6.5% to SAR 57.02 billion.”
Total finance portfolio “rose by 10.8% to SAR 75.45 billion.”
In terms of loan portfolio classification, “the retail sector accounted for the largest share of 76%, followed by MSME sector 21% and corporate sector 3%.”
The Annual Performance Report of Finance Companies Sector 2022 is available on SAMA‘s website.
In another recent update, it was noted that the Saudi Central Bank (SAMA) licensed the Saudi Mortgage Guarantee Services Company “Dhamanat”, a company owned by the Real Estate Development Fund, to provide “General Insurance” and “Protection and Savings Insurance” services.
This initiative is “pursuant to the Cooperative Insurance Companies Control Law and in line with SAMA’s regulatory and supervisory role to promote financial stability and foster economic growth and development in the Kingdom to contribute to the broader goals of Saudi Vision 2030.”
Such licensing is a complement to the leadership’s efforts “to respond to challenges related to home ownership and encourage finance companies to provide subsidized real estate financing solutions.”
SAMA remains focused on “supporting and enabling the insurance sector’s stability and growth for enticing a new segments of investors and companies that could bring added value and introduce unique business models in the sector.”
SAMA’s continuous support for the insurance sector is in “the context of increasing the efficiency of financial transactions and promoting innovative financial solutions for financial inclusion in the Kingdom.”
SAMA emphasizes the importance of dealing exclusively “with authorized financial institutions.”
To view licensed and permitted financial institutions, check out SAMA’s official website.
