In reference to Central Bank Circular No. M/107 dated 14/02/1428 AH and Circular No. 44102/MAT/830, dated 9/11/1428 AH Regarding the enhancement of high-value transfer services provided by licensed banks and exchange shops, and clarification of the legal status of companies and financial transfer agencies that deal with licensed local banks and exchange shops.

In view of the potential consequences that may arise when banks and licensed exchange shops engage in contracts with international companies specializing in providing money transfer services without obtaining prior approval from the central bank, including increased risks and regulatory responsibilities associated with transfer operations for banks and licensed exchange shops specifically, and the overall safety and reputation of the banking sector in the kingdom.

Therefore, we would like to emphasize to all banks and licensed currency exchange shops involved in money transfer operations the necessity of obtaining approval from the central bank before contracting with any specialized money transfer companies. Banks and licensed currency exchange shops with existing contracts must also review these contracts to ensure they comply with all regulatory requirements in force within the Kingdom, as well as with the related instructions and regulations issued by the central bank. This includes circulars related to money transfer operations. Rules for Opening and Operating Bank Accounts and Anti-Money Laundering and Counter-Terrorism Financing Regulations and Regulations for support operations And then submit it to the central bank to obtain its approval to continue dealing with these companies, and provide feedback on the actions taken in this regard within one month from the date thereof.