After receiving approval for a new branch license from SAMA, banks shall finalize the branch location, seek necessary approvals from the concerned government authorities, construct the branch and make all other arrangements to open the branch.
7.2
Once a branch is ready to commence operations, banks shall obtain a formal license from SAMA for opening of the approved branch. The request for obtaining such a license will contain all relevant information about the readiness of the bank to open the branch and will be submitted only after all necessary arrangements (as detailed in Point 7.3 below) for opening of the branch are in place.
7.3
All applications for obtaining a license for opening new branches shall be submitted along with relevant information including, inter alia:
a)
The exact location of the branch;
b)
The safety and security arrangements for the branch and the customers (including arrangements for the elderly and disabled customers);
c)
The status of IT infrastructure/connectivity;
d)
The proposed staffing arrangements;
e)
The status of approvals from relevant government authorities;
f)
Certificate of compliance with the municipality regulations, etc.;
g)
A certificate from the internal audit department of the bank confirming that the new branch complies with all relevant requirements of the government authorities and SAMA.
7.4
Once SAMA issues a formal license for opening a branch, the bank will take all necessary measures to make the branch operational within six months of the date of issuance of the license and ensure compliance of all conditions of the branch license.
7.5
Banks shall inform SAMA in writing within 14 calendar days of commencement of operations by a new branch.
