Saudi Arabia Prepares to Launch Individual Savings Sukuk

The Riyadh Economic Forum discusses sectoral coherence in the issuance of tax, fees, and zakat. (Asharq Al-Awsat)
The Riyadh Economic Forum discusses sectoral coherence in the issuance of tax, fees, and zakat. (Asharq Al-Awsat)
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Saudi Arabia Prepares to Launch Individual Savings Sukuk

The Riyadh Economic Forum discusses sectoral coherence in the issuance of tax, fees, and zakat. (Asharq Al-Awsat)
The Riyadh Economic Forum discusses sectoral coherence in the issuance of tax, fees, and zakat. (Asharq Al-Awsat)

The Saudi Ministry of Finance and the National Debt Management Center (NDMC) are seeking to develop and launch individual savings Sukuk to motivate individuals to design better plans for the future and seek strategic partnerships with the private sector.

The two entities signed a memorandum of understanding (MoU) with SNB Capital to strengthen their collaboration.

The Ministry and NDMC aim to boost the concept of saving across the Kingdom by driving the expansion of savings products for individuals as part of the ongoing work under the Financial Sector Development Program to Promote and Enable Financial Planning.

The memorandum was signed by the Chairman of the Steering Committee Abdulaziz al-Furaih from the Ministry of Finance, the CEO of NDMC Hani al-Medaini, and the Executive Chairman and Board Member of SNB Capital Rashid Sharif.

Furaih explained that the memorandum reflects the Ministry and the Center's drive to develop the first government-supported savings product towards achieving Vision 2030 targets through pursuing the financial sector development program's goals.

It aims to increase the number of individuals who regularly make savings, increase the supply of saving products, and raise awareness of the importance of saving and its benefits in planning future objectives.

Medaini explained that the memorandum represents an invitation to the private sector to cooperate and participate in developing and launching several savings tools for specific purposes and benefiting different categories of individuals, whether through banks, fund managers, or fintech companies.

For his part, Sharif asserted that the MoU enables SNB Capital, along with the Ministry and the Center, to offer government-supported savings products and solutions that meet the needs of citizens and residents.

"This partnership reflects our keenness to share our experiences and collaborate to develop and launch new saving products to support further economic diversification, saving, financing, and investing," he said.

Meanwhile, the Riyadh Economic Forum discussed the study of "the importance of unifying and coherent sectors in legislation to issue taxes, fees, and zakat and standardizing the issuance reference."

The discussion is part of the executive sessions of the forum that will be held next November under the auspices of the Custodian of the Two Holy Mosques, King Salman bin Abdulaziz.

The Chairman of the Council, Khaled al-Rajhi, stressed the study's importance by defining the types of fees and taxes and their values, double taxation, and the possibility of unifying the reference.

The head of the advisory team implementing the study, Mohammad al-Abbas, pointed out that it aims to identify the concepts of fees and taxes, their issuance reference, and collection channels.



Saudi Arabia Pledges $25 Bln Investment to Support Africa

Engineer Waleed Al-Khuraiji attends Africa Day reception in Riyadh (Asharq Al-Awsat)
Engineer Waleed Al-Khuraiji attends Africa Day reception in Riyadh (Asharq Al-Awsat)
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Saudi Arabia Pledges $25 Bln Investment to Support Africa

Engineer Waleed Al-Khuraiji attends Africa Day reception in Riyadh (Asharq Al-Awsat)
Engineer Waleed Al-Khuraiji attends Africa Day reception in Riyadh (Asharq Al-Awsat)

Saudi Arabia on Wednesday announced ambitious plans to scale up its diplomatic and economic presence in Africa, aiming to boost its investments on the continent to more than $25 billion by 2030, as part of a broader strategy to strengthen development and economic partnerships with African nations.

Deputy Foreign Minister Waleed Al-Khuraiji said the Kingdom intends to expand its network of embassies across the continent to more than 40 in the coming years, underscoring Riyadh’s commitment to deepening its engagement with Africa.

Speaking at a reception marking Africa Day at the Cultural Palace in Riyadh’s Diplomatic Quarter, Al-Khuraiji revealed that Saudi Arabia would provide $10 billion in export financing and secure an additional $5 billion in development funding for African countries by the end of the decade.

“Africa holds a central position in the Kingdom’s foreign policy and diplomatic outreach,” Al-Khuraiji said, noting that Saudi Arabia is keen to enhance cooperation in trade, integration, and multilateral coordination on shared global issues.

He added that the Kingdom has already contributed more than $45 billion to development and humanitarian projects in 54 African countries.

Of that, over $450 million was provided by the King Salman Humanitarian Aid and Relief Center to support efforts in 46 African nations.