Optional to Adhere with Certain Articles when Dealing with Small Medium and Large Enterprises

No: 391000081077

Date(g): 4/4/2018 | Date(h): 19/7/1439

Status: In-Force

Translated Document

Effective from 2018-04-04 - Apr 03 2018
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Based on the powers vested to SAMA under the Finance Companies Control Law issued by Royal Decree No. (M/51) dated 13/8/1433 AH, and according to Article Two of the Executive Regulation of the Finance Companies Control Law issued by the Governor’s Decision No. 2/M Sh T dated 14/4/1434 AH, which states “The Central Bank shall regulate the financing sector and supervise the operations of financing companies according to the law and regulation, including: 2-Taking necessary measures to maintain the safety and stability of the financing sector and fairness in transactions. 3-Taking necessary measures to encourage fair and legitimate competition among financing companies. 4-Issuing the necessary rules and instructions to regulate the financing sector.

I would like to inform you that the central bank has decided the following:

First:	Optional compliance of financing companies with articles number (78, 79, 81, 82, 83, 84) of the Executive Regulation of the Mortgage Companies Control Law is optional when dealing with small, medium, and large enterprises.
Second:	The terms small, medium, and large enterprises refer to the definitions provided in SAMA Circular No. 381000064902 dated 16/6/1438 AH, which refers to the decision of the Board of Directors of the Small and Medium Enterprises General Authority No. (2-1-1438) dated 14/3/1438 AH, regarding the approval of the definitions of small and medium enterprises operating in the Kingdom.