Saudi Central Bank Issues Rules for Practicing Debt Crowdfunding Activities

SourceSaudi Press Agency
SectorFinancial Services
CountrySaudi Arabia

The Saudi Central Bank (SAMA) announces issuance of the rules for practicing debt crowdfunding activities, which aim to regulate provisions for licensing this type of company and to regulate its conduct of activities, in accordance with the powers granted to the Saudi Central Bank, under the provisions of the Finance Companies Control Law. The issuance of these rules comes as part of SAMA's efforts to support the opportunities for growth and economic development in the Kingdom of Saudi Arabia, in order to achieve the goals of the Kingdom's Vision 2030 by supporting and organizing modern financing activities. Including the activity of debt crowdfunding, and in line with the role of the central bank in promoting financial stability. The Central Bank seeks through these rules to achieve several goals: Including attracting a new segment of investors and companies, owners of small and medium capitals, to work under its supervision, in a manner that ensures the efficiency of these companies by adhering to the requirements of information security, corporate governance, internal regulation, attribution, risk and compliance management, and internal auditing, in addition to encouraging innovation in financing more...