SAMA announced licensing of three new companies specialized in finance and electronic payments during the Global Entrepreneurship Congress sponsored by Crow Prince Muhammad Bin Salman, the deputy prime minister and defense minister of Saudi Arabia.
Under the theme "Reboot, Rethink, and Regenerate," the conference will be held from March 27-30, 2022 in Riyadh by the Small and Medium Enterprises General Authority (Monsha'at) and the Global Entrepreneurship Network (GEN).
According to SAMA, the license was awarded to a new financial technology company specializing in electronic payments named Etihad Fintech Company "Mobily Pay".
In addition to eight companies granted an "In-principle Approval", the newly licensed company is now eligible to provide e-wallet payment services in the Kingdom, bringing the total number of payment companies licensed by the SAMA to 17.
In addition, SAMA has started licensing debt based crowdfunding by giving 'Lendo' - a closed joint stock company with a capital of five million riyals - a license to conduct such financial activities within the Kingdom after a successful trial run through SAMA's Regulatory Sandbox dedicated to innovative financial products and services within Saudi Arabia.
Furthermore, the Saudi Central Bank has issued a second license for consumer microfinance activities to "FinZey" - a closed joint stock company with a capital of SR20 million that specializes in this type of financial activity.
This is part of SAMA's effort to strengthen the sectors of finance and payments-processing services by enabling them to engage in new activities and enticing a wider pool of investors and companies, while complying with control and supervisory requirements related to corporate governance and risk management, as well as demonstrating commitment to consumers and striving to protect them.
As part of SAMA's commitment to the objectives of Saudi Vision 2030, the initiatives will also enhance the Kingdom's financial stability and support its economic development and growth.
In its report, SAMA reaffirmed its commitment to supporting the sectors of finance and payments as well as enhancing the effectiveness and flexibility of financial transactions, encouraging innovation in financial services, enhancing the level of financial inclusion in the Kingdom, and enabling access to financial services for all segments of the Saudi society.
The Saudi Central Bank also stressed the importance of only dealing with licensed and authorized financial institutions, which anyone interested in doing so can verify by visiting SAMA's official website.
