Consideration of Loans Granted by the National Development Fund’s Development Funds and Banks
| No: 42049450 | Date(g): 28/2/2021 | Date(h): 17/7/1442 | Status: In-Force |
Translated Document
Referring to Responsible Lending Principles for Individual Customers under Circular No. (99/46538) issued by SAMA dated 02/09/1439 H which is stipulated in paragraph number (13), mandates that financing entities must include loans provided by government entities within the monthly obligations of customers and take them into consideration in the debt-to-income ratios.
Accordingly, SAMA emphasizes to all banks and finance companies taking into accounts the loans granted by the development funds and banks affiliated with the National Development Fund for individual customers. This should be done by referring to reports issued by accredited credit information companies, the deductions by the development funds and banks affiliated with the National Development Fund should be included within the monthly liability ratios for customers wishing to obtain any financing products.