Regulatory Alerts2024-10-17
Approval of the Amendment to the Rules for Engaging in Debt-Based Crowdfunding
The Saudi Central Bank has approved an amendment to the rules governing debt-based crowdfunding, requiring licensed companies to align their operations with the updated provisions within 90 days of publication on the Bank’s website. This directive, issued under Governor Decision number 162 dated 27 March 1437 AH, mandates compliance based on the authorities granted by the Central Bank’s founding system and the Financing Companies Monitoring System. Licensed debt-based crowdfunding entities must implement these adjustments promptly to maintain their regulatory standing and operational compliance.
Saudi Central Bank
Ref No.: 46023501
Date: 14/04/1446
Attachments: None
Circular
To the Esteemed,
Sirs,
Peace be upon you, and God's mercy and blessings,
Subject: Approval of the Amendment to the Rules for Engaging in Debt-Based Crowdfunding.
Based on the authorities vested in the Saudi Central Bank under its system issued by Royal Decree No. (36/M) dated 11/04/1427 AH, and the system for monitoring financing companies issued by Royal Decree No. (51/M) dated 13/08/1433 AH,
We inform you of the issuance of His Excellency the Governor's decision No. (162/M Sh T) dated 27/03/1437 AH, which includes the approval of the amendment to the rules for engaging in debt-based crowdfunding according to the attached form, and licensed debt-based crowdfunding companies are required to adjust their status in accordance with the provisions of the rules within a period not exceeding (90) days from the date of publication of the rules on the Saudi Central Bank's website.
For your information and action.
Yours sincerely,
Yazed bin Ahmed Al-Sheikh
Deputy Governor for Supervision
Distribution Scope:
- Licensed debt-based crowdfunding companies from the Saudi Central Bank.
P.O. Box 2992 Riyadh 11169, Kingdom of Saudi Arabia Tel: +966 11 463 3000
P.O. Box 2992, Riyadh 11169 Kingdom of Saudi Arabia Tel: +966 11 463 3000