The Saudi Arabian Monetary Authority (SAMA) announces the issuance of a number of decisions to impose penalties on 30 financial institutions under its supervision; as a result of its violation of the principles of responsible financing for individuals, while instructing them to correct the defect resulting from those violations.

                In a statement by The Saudi Arabian Monetary Authority (SAMA) the decision was decided based on the proven violation of these financial institutions for the principles of responsible financing for individuals. This is With respect to the percentage of bearing out of the individual customers monthly credit obligations. Based on the powers vested in SAMA by law - has imposed penalties on those financial institutions, and directed them to take corrective measures towards such violations. Although SAMA emphasizes on its right to take all legal measures against the violating financial institutions - including stopping the institution from providing the product subject to the violation - in the event that it continues to commit similar violations, and does not correct existing ones.

                SAMA indicated that this procedure came out as part of its supervisory role over the financial institutions operating in the Kingdom, and its keenness to apply the principle of fairness and transparency, and to ensure adherence to its instructions. This because such measure should contribute to preserving the financial sector and guarantee fairness and competitiveness among the financiers, and maintains the effectiveness and efficiency of the procedures and mechanisms followed by them in this regard in a way that meets the actual needs of all segments of society. Additionally, it takes into account the financial burdens that individuals can bear when applying for any financing product to avoid individual financial difficulties.

                In this regard, SAMA calls on the financial institutions under its supervision to adhere to all regulations and instructions in force in the Kingdom, without prejudice to the rights and interests of customers in particular. The list of violating financial institutions includes the following: Al Rajhi Bank, National Commercial Bank, Saudi British Bank, Riyad Bank, Al Jazira Bank, Albilad Bank, Samba Financial Group, Alinma Bank, Gulf International Bank, Emirates NBD Branch, Al Yusr Leasing and Finance Company, Matajer Finance, Financial Leasing Company, Maalem Finance Company, Finance Agencies Company, National Finance Company, Ejarah Finance Company, Nayifat Finance Company, Abdul Latif Jameel United Finance Company, Saudi Home Finance Company, Al-Jabr Finance Company, United Financial Services Company (Tasheel), Deutsche Gulf Finance Company, Bidaya Home Finance Company, Saudi Finance Company, Tamweel Al-Oula Company, Al-Amthal Finance Company, Al-Tayseer Arabia Company, American Express Saudi Arabia, and Imkan Finance Company.