Billion riyals to stimulate the Saudi housing market

Media In / Agencies / Riyadh March 27, 2018
The Saudi Refinancing Company has signed a refinancing agreement with Amlak International Company worth SR1 billion, in the presence of His Excellency the Minister of Housing and Chairman of the Board of Directors of the Saudi Mortgage Refinancing Company, Majid Bin Abdullah Al-Haqail.
The agreement is the first to be signed by the Saudi Refinancing Company in 2018, including the purchase of real estate finance portfolios as well as short term Murabaha financing, which will enable Amlak to improve and increase its financing capacity in the future.
The Saudi Refinancing Company had earlier concluded similar refinancing agreements late last year, underscoring its growing role in stimulating the Saudi housing market.
“We thank Amlak’s global team for their decision and trust, but this is just the beginning of the road. We will continue our efforts to revitalize the residential finance sector in the Kingdom and enable lenders to provide financing solutions that are suitable for The best needs of citizens looking for opportunities to own their own home, and we will help find more suitable financing options for financiers and borrowers. ”
“Amlak International is the first company to be licensed to practice real estate finance in Saudi Arabia and we recognize the need to work with the public sector to develop the real estate market in the Kingdom,” said Abdullah Bin Turki Al Sudairy, CEO of Amlak International.
He added that the agreement supports the provision of sustainable mortgage solutions to ensure that citizens have the opportunity to own the right home for them.
The Saudi Real Estate Refinancing Company was established in late 2017. It is a wholly owned subsidiary of the Public Investment Fund to create a secondary real estate market in the Kingdom. The company aims to enhance the performance of the real estate sector and increase its contribution to GDP. To 52% in 2020. The real estate market is expected to grow from SR 280 billion in 2017 to SR 500 billion by 2020