2022 Q1 Report En · Page 8

 
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Saudi Central Bank Opens Public Consultation on 
Amendment of Article 16 of the Implementing Regula-
tion of the Finance Companies Control Law  
The Saudi Central Bank (SAMA) announces opening a pub-
lic consultation on the draft amendment of article 16 of 
the Implementing Regulation of the Finance Companies 
Control Law. In this context, SAMA invites suggestions and 
observations from professionals and the public in the 
spirit of transparency and wider participation. 
This comes as part of SAMA's on-going efforts to review 
Implementing Regulations of the Finance Companies Con-
trol Laws to ensure efficacy and soundness of the finan-
cial sector to operate in a competitive environment. 
SAMA clarified that the draft seeks to reformulate article 
16 of the Implementing Regulation of the Finance Com-
panies Control Law to allow finance institutions to prac-
tice finance activities without stipulating the prohibition 
of combining any of the finance activities. It is for SAMA 
to restrict the licensing with certain conditions. 
Saudi Central Bank Updates Rules for Practicing Debt 
Crowdfunding Activities 
This step comes in line with SAMA's continued efforts to 
develop the finance sector and to keep abreast of recent 
development in the finance industry as well as support 
Fintech that led to the emergence of a number of Fintech 
companies. 
SAMA clarified that the updated rules aim to redefine the 
beneficiary to include all commercial establishments reg-
istered in the Kingdom of Saudi Arabia that seek to obtain 
financing through the debt crowdfunding platform, and 
adding the definition of aggregate accounts to ensure 
complete separation between the funds of the partici-
pants in the financing process and the funds of the crowd-
funding facility. In addition, it determines the allowed 
ceiling crowdfunding based on the capital criterion by 
amending Article (Twenty-Eighth). 
Saudi Central Bank Launches Cila Diploma Program  
The Saudi Central Bank (SAMA) has recently launched a 
training program in the field of loss adjustment (CILA Di-
ploma), in cooperation with the Financial Academy in Ri-
yadh. The program is designed for Saudi employees work-
ing in the insurance sector in a bid to national cadres as 
part of the financial sector development program (FSDP) 
under Saudi Vision 2030. 
The program, which lasts for 10 months, aims at improv-
ing professional competence of the Saudi male and fe-
male staff in the insurance sector by focusing on essential 
principles of insurance and settlement, claim handling, 
and principles of professional practice. 
Trainees who pass the program will receive a diploma in
loss adjustment (CILA Diploma), which is approved by the 
Chartered Institute of Loss Adjusters (CILA). 
The Capital Market Authority Continues to Work on De-
veloping Regulations and Rules 
As part of the Capital Market Authority's ("CMA") strategic 
objectives to regulate and develop the capital market 
and promote confidence of its participants, the Board has 
issued several resolutions regarding the approval of regu-
lations and regulatory rules, which included the follow-
ing: 
− 
The rules and procedures of the Post-Trade 
Project and the amendments of the glossary of 
defined terms used in the exchange rules 
− 
The regulation on the reporting of violations of 
the capital market law 
− 
The amended listing rules 
− 
The rules on the offer of securities and contin-
uing obligations to regulate an additional op-
t