The Central Bank of Saudi Arabia (SAMA) issued updated rules for the practice of loan crowdfunding activity based on its ongoing efforts to develop the supervisory and supervisory cycle of loan crowdfunding companies and the finance sector in general and empower financial technology. Announced to do. Especially the area.
The bank explained in a statement published on its website that the rules include a number of updates, in particular: setting additional requirements for disclosure, including an obligation for loan crowdfunding companies to disclose default rates through their platforms and loan Including allowing the participation of. Crowdfunding companies in financing beneficiary establishments in accordance with the controls specified in the regulations, loan crowdfunding companies when financing large commercial establishments and establishments licensed to practice real estate development activity shall grant to beneficiary establishments an amount not exceeding 7.5 million riyals. Apart from allowing financing. Or in case of receipt of written no-objection from the Central Bank.
Following the adoption of these updates, the Central Bank first presented a draft of updated rules for practicing debt crowdfunding activity, in order to enhance the principle of transparency and participation, to seek the views and comments of the public and experts about it . Comments and views were studied and taken into account in the final version of the rules. These rules can be seen by visiting the website.