SAMA Calls On Banks not to Misuse Citizen’s Account Allocations

SAMA Calls On Banks not to Misuse Citizen’s Account Allocations
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SAMA Calls On Banks not to Misuse Citizen’s Account Allocations

SAMA Calls On Banks not to Misuse Citizen’s Account Allocations

The Saudi Arabian Monetary Authority (SAMA) addressed local banks not to discount or cut any amounts from the beneficiaries’ dues of the Citizen’s Account in return of any judicial seizure, as an affirmation that Saudi banks have no right to draw amounts from the Citizen’s Accounts in banking accounts.

SAMA underlined the necessity of abiding by this circulation starting from its day of issuance, in addition to lifting previously imposed confiscations on Citizen’s Account beneficiaries' dues, urgently.

This step follows several complaints submitted by the Citizen’s Account regarding confiscating monetary amounts by some local banks, urging SAMA to respond and issue this circulation on Thursday.

As Saudi Arabia begins to apply the Value Added Tax (VAT) and to correct oil prices, the Ministry of Commerce and Investment carried out check-up tours on establishments in various regions in the kingdom to counter any price manipulation. Up to 11,500 establishments were examined and 695 violations were discovered.

All required procedures were taken in cooperation with the government bodies including security bodies, under the supervision of the Consumer Protection to ensure quick intervention and conduction of tours as well as responding to notifications of consumers promptly, throughout the day.

The General Authority of Zakat and Tax (GAZT) has announced that the score of VAT registered-establishments is 90,000 establishments. Most of them are prepared to train employees, comply with the tax system, adopt the accounting system and information technology related to tax-operations in addition to managing records to maintain instruments in the determined application.

Notably, the kingdom started to apply the lowest VAT rate (five percent) since Jan.1 2018, while GAZT is in charge of observing the application of VAT, in cooperation with relevant bodies, including Saudi Customs.



Gold Steadies with Focus on US-China Talks, Fed Meeting

A saleswoman shows gold bangles to a customer at a jewellery showroom on the occasion of Akshaya Tritiya, a major gold buying festival, in Kolkata, India, May 3, 2022. REUTERS/Rupak De Chowdhuri/File Photo
A saleswoman shows gold bangles to a customer at a jewellery showroom on the occasion of Akshaya Tritiya, a major gold buying festival, in Kolkata, India, May 3, 2022. REUTERS/Rupak De Chowdhuri/File Photo
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Gold Steadies with Focus on US-China Talks, Fed Meeting

A saleswoman shows gold bangles to a customer at a jewellery showroom on the occasion of Akshaya Tritiya, a major gold buying festival, in Kolkata, India, May 3, 2022. REUTERS/Rupak De Chowdhuri/File Photo
A saleswoman shows gold bangles to a customer at a jewellery showroom on the occasion of Akshaya Tritiya, a major gold buying festival, in Kolkata, India, May 3, 2022. REUTERS/Rupak De Chowdhuri/File Photo

Gold prices held nearly steady on Tuesday as markets turned their focus to upcoming US-China talks and the Federal Reserve's policy decision.

Spot gold steadied at $3,313.63 per ounce, by 10:05 ET (14:04 GMT). Prices hit their lowest point since July 9 on Monday after a trade deal between the United States and European Union dampened safe haven demand for the yellow metal.

US gold futures was unchanged at $3,311.60.

"The lack of clear details and a defined outline of the announced trade deals... continues to keep market participants on edge," said Zain Vawda, analyst at MarketPulse by OANDA, Reuters reported.

Vawda added that a break below $3,300 could trigger a decline toward the $3,000 level in the medium term.

US and Chinese officials held more than five hours of talks in Stockholm on Monday aimed at extending their trade truce by three months, with discussions set to resume Tuesday.

Analysts note that recent US deals with the EU and Japan offered some relief, but talks with China remain far more complex and prolonged.

On the US interest rate front, the US central bank's two-day policy meeting kicks off later in the day, with rates widely expected to remain unchanged. Investors will closely scrutinize the Fed's commentary for any signals on the timing and pace of potential rate cuts ahead.

Markets are currently pricing in just under 50 basis points of rate cuts by year-end, with October seen as the most likely starting point, said Peter Grant, vice president and senior metals strategist at Zaner Metals.

However, dissent from two Fed members could shift expectations toward a September cut, which could potentially boosting gold, he added.

Gold tends to benefit in a low interest rate environment as the reduced yield on competing assets makes the non-yielding metal more attractive to investors.

Spot silver fell 0.5% to $37.98 per ounce, while platinum was steady at $1,389.85 and palladium slipped 1.2% to $1,232.67.