Saudi Digital Bank

The Saudi Digital Bank (SDB) is one of the local digital banks in the Kingdom of Saudi Arabia, dedicated to conducting all banking activities through digital technology. The bank was licensed by a resolution of the Council of Ministers on June 23, 2021. Founded by a consortium of partners and investors, it is led by Abdulrahman Bin Saad al-Rashid and Sons Company. The project’s capital is estimated at approximately SAR1.5 billion.

Digital banks provide financial products and services exclusively through digital channels through an innovative sector-geared banking business model, which contributes to higher financial inclusion. Saudi digital banks aim to keep abreast of the latest developments in the global financial and technical sectors.

The Saudi Central Bank has taken numerous measures in financial technology to foster innovation in the financial sector, thereby advancing the digital economy and bolstering the growth of private sectors. This involves paving the way for new companies keen on offering financial services to individuals. As of February 2022, the Central Bank has granted licenses to approximately nineteen Saudi financial technology companies, which in turn offer various services including payment services, consumer microfinance, and e-insurance brokerage.

The role of the Saudi Central Bank is to support financial technology by providing various instant banking services through digital channels without the necessity of physical branches and digital branches that cater to a range of customers who prefer in-person visits. Digital banking devices have been deployed for inexpensive banking services, both within and outside branches, such as in malls, markets, stations, and call rooms. These are safe rooms housed in self-service areas. Moreover, interactive welcome screens are installed within branches, which are screens that utilize facial recognition technology to identify customers and analyze their data, thereby offering all required services.

Supporting the development of the financial technology sector in the Kingdom is driven by the formulation of a sector strategy spanning from 2021 to 2025 and encompassing a range of initiatives focused on the technology field. The objective is to develop the financial technology sector, consequently bolstering the national economy and diversifying income sources.