Saudi government approves licensing new digital bank

Saudi government approves licensing new digital bank

Saudi cabinet grants approval to license a local digital bank called D360 Bank. The digital bank will be established with a capital of 1.65 billion Saudi Riyals which accounts to almost $440m through a consortium of individual and corporate investors, with the Public Investment Fund as one of the key investors and will be led by Derayah Financial Company.

The establishment of D360 Bank comes as an extension of the continuous support of the Kingdom’s leadership towards various sectors, including the financial sector.

Two Saudi digital banks, STC Bank and Saudi Digital Bank, have already been recently licensed to conduct banking business in the Kingdom and this is the third license for a local digital bank, which brings the total number of licensed banks in the Kingdom to 35 banks, including 11 local banks, 3 local digital banks, and 21 foreign bank branches.

Read more: Two Saudi Firms Have Been Granted Digital Banking Licenses

The creation of digital banks in the kingdom is part of a financial development program contained in a massive reform program known as Saudi Vision 2030.

The Saudi Central Bank also issued a number of licenses to various financial institutions, including those working in FinTech, where it licensed 9 Saudi financial technology companies to provide payments services, consumer microfinance and electronic insurance brokerage.

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