Quarterly Reporting to SAMA on Risks, Financial Statements, Auditor's Report, and Prudential Data; Publication of the Board of Directors' Report and Financial Statements on the Company's Website
| No: 45063454 | Date(g): 15/4/2024 | Date(h): 7/10/1445 | Status: In-Force |
Translated Document
Based on the powers vested to SAMA under the relevant regulations and instructions, we would like to inform that BNPL companies must adhere to the following:
| First: | Preparation of a quarterly risk report to be discussed by the Risk and Credit Management Committee and the Board of Directors, based on a review by senior management and the Board's approval of the necessary measures to address the risks mentioned in the risk report. The report should, at a minimum, include the following: | ||
| 1. | A comprehensive assessment of the risks facing the company, the measures taken to mitigate them, and a review of the performance of financial positions exposed to market-related risks. | ||
| 2. | The assumptions and factors on which the risk assessment procedures are based, including risk categories, risk levels, frequency, risk units, and any changes that may occur. | ||
| 3. | Performance of the financing portfolio by activity, delinquent financings, and provisions set aside. | ||
| 4. | Analysis of the situations in which the company exceeded the permitted limits, including an explanation of the reasons and the size and evolution of new business activities. | ||
| Second: | Provision of the report mentioned in item (First) to SAMA, including the decisions made regarding it, within 30 business days from the end of March, June, September, and December of each calendar year. | ||
| Third: | Provision of the quarterly financial statements and the auditor's report to SAMA within 20 business days from the end of March, June, and September of each calendar year. | ||
| Fourth: | Provision of the audited annual financial statements, the auditor's report, and the Board of Directors' report to SAMA within 45 business days from the end of the calendar year. | ||
| Fifth: | Provision of the annual and quarterly regulatory data to SAMA in accordance with the approved accompanying templates, ensuring the accuracy of all data, to be submitted within 25 business days from the end of March, June, September, and December for the quarterly regulatory data templates, and within 60 business days from the end of the calendar year for the annual regulatory data templates. | ||
| Sixth: | The regulatory data templates should be sent electronically in the required format (Excel) after completion, along with a scanned electronic copy of the Certification Statement signed by the Chief Accountant, the CEO, or the Managing Director, as applicable, by the deadlines specified in item (Fifth) above. | ||
| Seventh: | The annual regulatory data templates must be reviewed by the company's external auditor before being submitted to SAMA, and a signed copy of the audit certificate from the company's auditor should be attached to the templates. | ||
| Eighth: | The Board of Directors' report, quarterly financial statements, and audited annual financial statements must be published on the company's website within (10) business days from the deadline for submission, including the following: | ||
| 1. | Statement of financial position. | ||
| 2. | Income statement. | ||
| 3. | Statement of cash flows. | ||