Regulatory Alerts2014-04-15
Depositors Protection Fund (DPF) Rules
The Saudi Arabian Monetary Agency issued the Depositors Protection Fund Rules to establish a mandatory safety net guaranteeing coverage up to SAR 200,000 per eligible depositor per bank. The framework requires all licensed domestic and foreign banks to pay quarterly premiums calculated on eligible deposit balances, with SAMA retaining authority to adjust rates and limits based on fund adequacy. A dedicated governing committee manages resources, evaluates claims, and ensures prompt compensation to depositors upon bank failure while maintaining overall financial stability.
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