RegAlert

Rule · SAMA · 16 Sep 2020

Principles of Compliance for Banks and Commercial Banks Operating in the Kingdom of Saudi Arabia

governance

The Saudi Arabian Monetary Authority (SAMA) issued the Principles of Compliance to replace its 2008 Compliance Guide and strengthen the supervisory and regulatory framework for banking institutions in the Kingdom. The document mandates that banks implement these principles on a guidance basis through the end of 2020, with full compliance becoming compulsory starting January 1, 2021. It establishes standardized operational and governance requirements designed to enhance sound banking practices, address regulatory gaps, and ensure consistent risk management across all commercial banks operating within Saudi Arabia.

Saudi ArabiaSaudi Central Bank

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In the Name of Allah, the Most Gracious, the Most Merciful Saudi Arabian Monetary Authority Banking Policies Department Head Office Ref: 42005223 Date: 28/01/1442 AH Enclosures: (26) rolls Circular

Dear Sirs,
Peace, mercy, and blessings of God be upon you, Subject: Principles of Compliance for Banks and Commercial Banks Operating in the Kingdom of Saudi Arabia.

Based on the powers vested in the Authority under its system issued by Royal Decree No. (23) dated 23/05/1377 AH, and the Banking Control System issued by Royal Decree No. (M/5) dated 22/02/1386 AH. And referring to the Compliance Guide for Banks Operating in the Kingdom of Saudi Arabia issued in the year (1429 AH / 2008 AD), and in light of the supervisory and regulatory role of the Saudi Arabian Monetary Authority, and its efforts aimed at continuously improving and addressing banking regulatory matters and enhancing sound practices in banking institutions.

Attached herewith are the Principles of Compliance for Banks and Commercial Banks Operating in the Kingdom of Saudi Arabia, which aim to activate regulatory roles and enhance sound practices in banking institutions, to replace the aforementioned Guide.

For information, and to be implemented on a guidance basis until the end of 2020, and mandatory as of 01/01/2021.

Yours sincerely,
Fahd bin Ibrahim Al-Shathry
Deputy Governor for Supervision

Distribution Scope

  • Banks and commercial banks operating in the Kingdom.

P.O. Box 2992, Riyadh 11169, Telegram Address: MARKAZI, Telex: 404400, Tel: 4632000, Fax: 4662414

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Principles of Compliance
For Banks and Commercial Banks Operating in the Kingdom of Saudi Arabia

September 2020

Saudi Arabian Monetary Authority
Saudi Arabian Monetary Authority

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Table of Contents
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Annotations and obligations
4 definitions
  • Definition / condition 4
  • background, boilerplate

Lineage: No known changes

RegAlert holds no document that amends or replaces this one. This is not a check that it is in force: confirm with the regulator.

Royal Decree No. (23) dated23/05/1377Not in RegAlert · 1957Royal Decree No. (23) dated 23/05/1377 — Not in RegAlert · 1957Royal Decree No. (M/5) dated22/02/1386Not in RegAlert · 1966Royal Decree No. (M/5) dated 22/02/1386 — Not in RegAlert · 1966Guideline dated 2008-01-01Not in RegAlertGuideline dated 2008-01-01 — Not in RegAlertPrinciples of Compliance forBanks and Commercial Banks Op…2020-09-16 · this documentPrinciples of Compliance for Banks and Commercial Banks Operating in the Kingdom of Saudi Arabia (2020-09-16)
amendssupersedesissued underrefers todashed card: not in RegAlert (or proposed)arrows run from the older text to the one that changes it
The links and the sentences they come from (3)
Supersedes
  • Guideline dated 2008-01-01Not in RegAlert

    “And referring to the Compliance Guide for Banks Operating in the Kingdom of Saudi Arabia issued in the year (1429 AH / 2008 AD)... to replace the aforementioned Guide.”

Issued under
  • Royal Decree No. (23) dated 23/05/1377Not in RegAlert · 1957

    “Based on the powers vested in the Authority under its system issued by Royal Decree No. (23) dated 23/05/1377 AH”

  • Royal Decree No. (M/5) dated 22/02/1386Not in RegAlert · 1966

    “and the Banking Control System issued by Royal Decree No. (M/5) dated 22/02/1386 AH.”

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Source: Saudi Central Bank — original document · Summary generated with machine assistance and reviewed before publication; the authoritative text is the regulator's original document. How RegAlert works

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