The Saudi Real Estate Refinance Company (SRC), a wholly owned entity of the Public Investment Fund (PIF), has signed a real estate finance portfolio purchase agreement with Bank Albilad as part of its ongoing efforts to strengthen the Kingdom’s residential mortgage market and enhance liquidity in the financial system.
The signing ceremony took place in the presence of Majid bin Abdullah Al-Hogail, Minister of Municipal and Rural Affairs and Housing and Chairman of SRC, and Nasser bin Mohammed Al-Subaie, Chairman of Bank Albilad.
The agreement reflects the strategic alignment of both institutions in supporting the goals of Saudi Vision 2030, which include increasing homeownership rates and improving financial sector sustainability.
SRC CEO Majeed bin Fahed Al-Abduljabbar said the deal marks a significant milestone in expanding the company’s refinancing capacity and supporting future securitization initiatives. He added:
We value our continued partnership with Bank Albilad, which will play a key role in advancing future securitization plans, enhancing the sustainability of the residential real estate finance market, and attracting both local and international investment.
The agreement is expected to enable more competitive and affordable mortgage products for Saudi citizens by improving funding access for lenders, per the announcement.
Abdulaziz Al-Anizan, CEO of Bank Albilad, emphasized that the partnership contributes to the growth of Saudi Arabia’s real estate finance sector and the development of local capital markets.
He said the collaboration is designed to deliver innovative and sustainable housing finance solutions that serve both economic and social development objectives. Al-Anizan added:
Our partnership with SRC represents a pivotal step in supporting and developing the Kingdom’s real estate finance sector, while contributing to the ongoing evolution of Saudi capital markets.
The agreement builds on an existing partnership between the two institutions, which began in 2022. It forms part of a broader strategy to strengthen the secondary mortgage market by providing liquidity to primary lenders and expanding access to home financing.
SRC was established by the Public Investment Fund in 2017 and operates under a license from the Saudi Central Bank (SAMA). Its mandate includes facilitating mortgage refinancing, improving funding efficiency, and supporting the Housing Program under Vision 2030.
Through strategic partnerships with banks and lenders, SRC aims to develop a robust and sustainable housing finance ecosystem that supports long-term economic growth and broader homeownership across the Kingdom.