Riyadh: The Saudi Central Bank (SAMA) has announced the initiation of licensing fintech companies to offer open banking services. This development follows the successful conclusion of the regulatory sandbox phase, which was conducted under SAMA’s supervision.
According to Saudi Press Agency, this decision is part of SAMA’s ongoing efforts to support and enable the financial sector. It aims to enhance the efficiency and flexibility of financial transactions and promote innovation in financial services. These efforts are directed towards advancing financial inclusion and broadening access to financial services across various segments of society.
Open banking is an innovative concept in the financial sector, designed to allow customers to securely share their financial information with entities supervised by SAMA. These entities provide new and innovative financial products and services. Open banking contributes to creating a positive impact across the sector by strengthening partnerships between banks and fintech companies, enhancing sector infrastructure, and enabling better utilization of customer financial information. This is done within a secure regulatory framework that protects information and privacy, ensuring trust in information sharing with customer consent through compliant entities.
The Open Banking Program is part of the National Fintech Strategy, a key outcome of the Saudi Vision 2030. The strategy aims to establish the Kingdom as a global fintech hub, where technology-driven financial innovation serves as a foundation for enhancing economic empowerment for individuals and society.