Circular Re. Counter-Fraud Fundamental Requirements

Saudi Central Bank
Reference No.: 106897184
Date: 16/10/1446 (AH)
Attachments: 22 sheets of paper

Circular

To: Respected Institutions Peace be upon you, and God's mercy and blessings, Subject: Counter-Fraud Fundamental Requirements Guide.

Based on the Saudi Central Bank System issued by Royal Decree No. (M/36) dated 11/4/1442 AH, and the authorities vested in it under related systems, and based on its supervisory and regulatory role, and keen on enhancing practices in the financial sector to mitigate fraud risks and emerging methods.

We hereby inform you of the approval of the Counter-Fraud Fundamental Requirements Guide, which aims to enhance counter-fraud practices by applying a set of regulatory controls to strengthen and elevate the maturity level in dealing with risks, patterns, and evolving fraud methods proactively.

Accordingly, financing companies and payment service companies must comply with the provisions herein according to the following procedures:

First: The financial institution must conduct a comprehensive and accurate assessment of the current status of counter-fraud procedures compared to the Counter-Fraud Fundamental Requirements Guide (Gap Assessment); to identify weaknesses and evaluate the current level of the financial institution.

Second: The financial institution must develop an action plan (Roadmap) to achieve compliance with all requirements in the Guide after accurately evaluating the current status within the financial institution's environment, and obtain approval from the Board of Directors on the prepared plan (Roadmap) and necessary support for its implementation, taking into account Paragraph (Fifth).

Third: The financial institution must submit the comprehensive assessment and approved action plan to the Central Bank no later than the end of July 2025.

Fourth: The financial institution must provide the Central Bank with quarterly reports on compliance status with the Guide starting from the end of Q3 2025 until full compliance with the requirements is achieved.

Fifth: The financial institution must fully comply with the Counter-Fraud Fundamental Requirements Guide no later than April 13, 2026.

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Sixth: The financial institution must prepare a detailed report from the Internal Audit Department - with the option to engage external consultants - outlining compliance status with the Counter-Fraud Fundamental Requirements Guide by the end of Q2 2026.

Seventh: Submit the aforementioned requirements to the Central Bank via email: (DAFS@SAMA.GOV.SA).

Eighth: The attached Counter-Fraud Fundamental Requirements Guide replaces the Fraud Prevention Rules for Financing Companies issued under Central Bank Circular No. (381000103246) dated 19/10/1438 AH, effective from April 13, 2026.

We wish to note that the Central Bank will conduct periodic inspection visits to verify assessment accuracy and compliance level with the Counter-Fraud Fundamental Requirements Guide.

For information and action, effective from its date.

Yours sincerely,

[Signature] Yazid bin Ahmed Al-Sheikh Deputy Governor for Supervision

Distribution Scope:

• Financing companies operating in the Kingdom.
• Payment service companies operating in the Kingdom.

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