The Saudi Central Bank has set 5 million riyals as a minimum capital for postpaid companies to obtain a license to practice the activity, whereby the license applicant submits an irrevocable bank guarantee in the event that the applicant is a company under incorporation with an amount equivalent to the minimum capital, issued in favor of the Central Bank by a bank licensed in the Kingdom, and is automatically renewed until the capital is paid in full.
And the bank stipulated, through the draft rules for regulating post-paid companies (BNPL), that every person nominated for supervisory and executive work in the company must meet the professional eligibility requirements established by the Central Bank, be a permanent resident in the Kingdom, be theoretically and practically qualified, and have appropriate experience. In the same field, in addition, he must not have violated the provisions of the Banking Control Law, the Cooperative Insurance Companies Control Law, financing regulations, or the financial market law and its regulations, and he must not have been convicted of any crime involving breach of trust, unless he has been rehabilitated in accordance with the applicable regulations. .
The fee for the license
The Central Bank specified the value of the financial fee for issuing the license at 5 thousand riyals and 2000 riyals for renewing or amending the license, and obligated companies to develop appropriate and written regulatory policies, which include, at a minimum, evidence of internal organization, governance, and procedures for approving purchase requests, credit, and risk management, compliance, confidentiality and security of information, task assignment, human resources, anti-money laundering and terrorist financing, and that the technical and security equipment and related systems are sufficient for the operational needs of the company, the nature of its activity, and the status of its risks, in accordance with best practices, and the design of information technology systems and related procedures in a manner Ensures the availability, integrity, integrity and confidentiality of information. The company evaluates this periodically in accordance with the generally accepted technical standards, and it must be tested before using it for the first time, and after making any changes to it.
The Central Bank obligated companies requesting licensing with a localization rate of no less than 50% when the company starts its activity, at the level of departments and administrative levels, and the localization of human resources must be increased annually by at least 5% of the total of these resources until it reaches 75%.