The Saudi Central Bank (SAMA) has updated the framework of its Regulatory Sandbox. The step was taken as part of SAMA’s efforts to achieve several national strategic goals by promoting the Regulatory Sandbox’s participation in the Financial Sector Development Program (FSDP), a key goal of the Saudi Vision 2030, which aims to develop the kingdom’s economy, diversify its sources of income, enable financial institutions to support private sector growth, and allow new companies to provide their own array of financial services.
Operating within a holistic framework, the strategy will support a wide range of fintech activities through several initiatives that will serve as change catalysts, the most notable of which is having its framework updated, which will allow FinTech companies to submit Regulatory Sandbox applications as of September 6, 2022.
The Central Bank stated that the updated Regulatory Sandbox framework is open for both local and international applicants to apply, whether they are entrepreneurs, non-regulated companies, or existing regulated entities. The key differentiator of the updated framework is the shift from a cohort-based approach to an always-open approach, which will provide greater flexibility to those applying.
