Based on Article Fourteen of the Finance Companies Control Law, which states: "Without prejudice to the provisions of Article Three of this law, a finance company may, in accordance with what is determined by the regulations and in proportion to its assets and financial position, issue securities and sukuk in accordance with the provisions of the Capital Market Law and its regulations." And Article Sixty-Six of the implementing regulations of the Finance Companies Control Law, which states: "Finance companies may issue securities after obtaining a letter from SAMA stating that it has no objection." In reference to the ongoing coordination between  SAMA and the Capital Market Authority regarding the issuance of debt instruments by finance companies through special purpose entities.

SAMA would like to inform you that finance companies may submit a request to the Capital Market Authority to establish a "special purpose entity" in accordance with the rules governing special purpose entities issued by the Capital Market Authority, with notification to SAMA. SAMA also emphasizes the necessity of obtaining prior approval from SAMA before issuing any debt instruments through the special purpose entity.