Digital Banks in the Kingdom of Saudi Arabia are digital wallets offering all banking services using advanced digital technologies. They were licensed to operate in the Kingdom under a decision from the Council of Ministers on June 22, 2021. Three local digital banks are licensed in the Kingdom.
List of digital banks in Saudi Arabia
Digital banks based in the Kingdom include:
Saudi Digital Payment Company (stc pay), which was transformed into a local digital bank with a capital estimated at SAR2.5 billion (stc Bank).
The Saudi Digital Bank, which is a local digital bank established by a group of companies and investors with an estimated value of SAR1.5 billion.
D360 Bank, which is a local digital bank established by a group of investors with participation from the Public Investment Fund (PIF) and led by Derayah Financials with an estimated capital of SAR1.65 billion.
The Saudi Central Bank enabled new companies to offer financial services in the Kingdom. As of February 2022, there were thirty-five licensed banks in the Kingdom, including eleven local banks, three digital banks, and twenty-one foreign banks.
The Saudi Central Bank also issued licenses for several financial institutions, including FinTech banks. By February 2022, the central bank had issued licenses for nearly nineteen Saudi financial companies to offer payment, microfinance, and digital insurance brokerage services.
Objectives of digital banks in Saudi Arabia
Saudi digital banks seek to achieve several objectives that contribute to the development and modernization of financial technology in the Kingdom, positioning the Kingdom as one of the major financial hubs worldwide. These objectives also aim to achieve substantial growth in financial services to keep up pace with the latest developments in businesses and services of the Kingdom.
Security of Saudi digital banks
Digital and non-digital banks in the Kingdom are subject to oversight and monitoring requirements. They also meet IT and cyber-security standards for combating financial forms of corruption, including money laundering, terrorist financing, commercial concealment, and operational risks.
The Saudi Central Bank works constantly to develop and support the banking sector, preserve the Kingdom's achievements, and maintain economic stability and the resilience of the financial sector.
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