The Saudi Central Bank, or SAMA, has launched licenses for consumer microfinance operations in the Kingdom.
This follows the bank’s announcement of the third license for a consumer microfinance company in the Kingdom, Sulfah.
Microfinance targets individuals and small businesses, including self-employed people, who may otherwise lack access to banking and other financial services.
Sulfah will practice microfinance consumer finance through financial technology, as a closed joint stock company with a capital of SR10 million ($2.6 million).
This follows the firm’s successful trial period through the Central Bank’s legislative sandbox for innovative financial services and products in Saudi Arabia.
Sulfah becomes the first fintech company to provide small and fast personal finance, authorized by the Saudi Central Bank and which are Shariah compliant.