Regulatory Alerts2021-06-21
The required certificate for compliance managers of the finance companies.
The Saudi Central Bank (SAMA) has issued a circular mandating that compliance managers in all finance companies operating within the Kingdom obtain the "Compliance for Finance Companies Sector" certificate. This requirement must be fulfilled within one year of the circular's issuance or upon submission of a no-objection application for appointment, with finance companies obligated to submit the certificate to SAMA upon acquisition. The directive further directs stakeholders to access relevant training materials through the Financial Academy's official website to ensure regulatory compliance and workforce competency.
Saudi Central Bank (SAMA)
Reference No.: 42078793
Date: 1442/11/11
Attachments: None
Circular
To the esteemed,
Gentlemen/
Peace, mercy, and blessings of Allah be upon you,
Subject: Mandatory acquisition by compliance managers in finance companies of the "Compliance for Finance Companies Sector" certificate.
With reference to the importance of the compliance function in finance companies and its regulatory responsibilities to verify compliance with relevant regulations and instructions. Based on Article Two of the Executive Regulations of the Finance Companies Control System, which stipulates: "The Central Bank is responsible for regulating the finance sector and supervising the operations of finance companies in accordance with the System and Regulations. This includes the following: 5. Taking appropriate measures to develop the finance sector, localizing its functions, and enhancing employee efficiency by regulating finance companies' obligations regarding human resource training, upgrading their skills, and developing employees' knowledge."
Therefore, compliance managers in finance companies must obtain the "Compliance for Finance Companies Sector" certificate within a maximum period of one year from the date of this circular, or when the finance company submits an application for no-objection to appointment in this position. The finance company must provide the Central Bank with this certificate upon obtaining it. Training materials related to this certificate can be accessed via the Financial Academy's website.
Yours sincerely,
Fahd bin Ibrahim Al-Shathri
Deputy Governor for Supervision
Al-Owaiz
Distribution Scope:
- Finance companies operating in the Kingdom.
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