Regulatory Alerts2011-09-18
Rules and Requirements for Contracting with Civil Security Companies and Institutions
The Saudi Arabian Monetary Authority (SAMA) issued this circular to standardize contracting with private civil security companies and institutions across the banking sector. It mandates that banks incorporate eleven specific operational, administrative, and financial conditions into their security contracts, including trained guards with valid certifications, compliance with Ministry of Labor working hours, independent contract status, and comprehensive social and medical insurance coverage. Furthermore, the directive requires security providers to supply properly equipped guard booths, verified staff with clear criminal records, and site-appropriate auxiliary equipment such as communication devices, firearms, patrol vehicles, and uniform compliance.