The Saudization Ratio Calculation Mechanism in Prudential Data

In the Name of Allah, the Most Gracious, the Most Merciful

Saudi Central Bank
Headquarters

Office of the Deputy Governor for Supervision

Reference No.: ____________________
File No.: 391000041142
Date: 1439/04/10 (Hijri)
Attachments: ____________________

General Circular

To:

Greetings,

Subject: The Saudization Ratio Calculation Mechanism in Prudential Data

Based on the powers granted to the Bank under the Banking Control System issued by Royal Decree No. M/5 dated 1386/02/22H, and the Financing Companies Control System issued by Royal Decree No. M/51 dated 1433/08/13H, and in response to inquiries received by the Bank regarding the Saudization calculation mechanism and its linkage with issuances from the Ministry of Human Resources and Social Development,

We wish to inform you that all Saudi nationals must be counted, with categories treated as equivalent to Saudis (as issued by the Ministry of Human Resources and Social Development) clearly indicated, and this must be disclosed through the prudential data template submitted to the Bank. Financial institutions must continue to verify and comply with relevant issuances from the Ministry of Human Resources and Social Development, reflect this periodically in the aforementioned template, and notify the Bank of any updates made in this regard.

For information and necessary action, effective as of the first quarter of 2018.

Yours sincerely,

Ahmed bin Abdullah Al-Sheikh
Deputy Governor for Supervision

Distribution Scope:

• Banks and financial institutions operating in the Kingdom.
• Financing companies operating in the Kingdom.
• Supervision Department administrations.

P.O. Box 2992, Riyadh 11169, Tel: 4662200 - Fax: 4662543