PIF-owned SRC Acquires $799 Million Mortgage Portfolio from Al Rajhi Bank
Saudi Real Estate Refinance Co., a subsidiary of the Public Investment Fund, signs deal for SR3 billion mortgage portfolio.
Riyadh: The Saudi Real Estate Refinance Company (SRC), a subsidiary of the Public Investment Fund (PIF), has finalized an agreement to acquire a SR3 billion ($799 million) residential mortgage portfolio from Al Rajhi Bank.
This move aligns with SRC's strategic initiatives aimed at bolstering liquidity and supporting the sustainability of the Kingdom's mortgage market.
The transaction underscores a growing trend within the financial sector, which is increasingly focused on delivering innovative financing solutions that enhance market efficiency, ensure stable funding, and bolster the residential mortgage market in Saudi Arabia.
By offering tailored mortgage solutions to citizens, SRC and Al Rajhi Bank seek to contribute to the objectives of the Housing Program under Saudi Vision 2030, specifically aiming to increase homeownership rates among Saudis.
Majeed Al-Abduljabbar, CEO of SRC, articulated that the agreement represents a continuation of support for the residential real estate market in the Kingdom.
It also signifies an expansion of the partnership with Al Rajhi Bank, aimed at providing flexible financing solutions for Saudi families, thereby enhancing homeownership opportunities.
This transaction is projected to inject additional liquidity into the residential mortgage market, marking a significant milestone in the ongoing efforts to refine and expand the partnership between SRC and Al Rajhi Bank.
Al-Abduljabbar emphasized that this agreement exemplifies the strategic alliance between both entities, underscoring their pivotal roles in shaping the Kingdom's residential mortgage finance system.
SRC, established by PIF in 2017, has been at the forefront of developing the mortgage finance market within Saudi Arabia.
Following the acquisition of a license from the Saudi Central Bank to operate in mortgage refinancing, SRC now plays a crucial role in advancing the objectives aimed at elevating homeownership rates among Saudi citizens.
Through strategic partnerships and innovative solutions, SRC remains committed to enhancing liquidity within the mortgage finance market, thereby supporting the sustainability of mortgage financing and bolstering the robustness of the national economy.
By providing liquidity to financiers, SRC enables them to offer affordable housing finance options to individuals and strengthens its collaborative efforts with partners in support of Saudi Arabia's housing sector.
This move aligns with SRC's strategic initiatives aimed at bolstering liquidity and supporting the sustainability of the Kingdom's mortgage market.
The transaction underscores a growing trend within the financial sector, which is increasingly focused on delivering innovative financing solutions that enhance market efficiency, ensure stable funding, and bolster the residential mortgage market in Saudi Arabia.
By offering tailored mortgage solutions to citizens, SRC and Al Rajhi Bank seek to contribute to the objectives of the Housing Program under Saudi Vision 2030, specifically aiming to increase homeownership rates among Saudis.
Majeed Al-Abduljabbar, CEO of SRC, articulated that the agreement represents a continuation of support for the residential real estate market in the Kingdom.
It also signifies an expansion of the partnership with Al Rajhi Bank, aimed at providing flexible financing solutions for Saudi families, thereby enhancing homeownership opportunities.
This transaction is projected to inject additional liquidity into the residential mortgage market, marking a significant milestone in the ongoing efforts to refine and expand the partnership between SRC and Al Rajhi Bank.
Al-Abduljabbar emphasized that this agreement exemplifies the strategic alliance between both entities, underscoring their pivotal roles in shaping the Kingdom's residential mortgage finance system.
SRC, established by PIF in 2017, has been at the forefront of developing the mortgage finance market within Saudi Arabia.
Following the acquisition of a license from the Saudi Central Bank to operate in mortgage refinancing, SRC now plays a crucial role in advancing the objectives aimed at elevating homeownership rates among Saudi citizens.
Through strategic partnerships and innovative solutions, SRC remains committed to enhancing liquidity within the mortgage finance market, thereby supporting the sustainability of mortgage financing and bolstering the robustness of the national economy.
By providing liquidity to financiers, SRC enables them to offer affordable housing finance options to individuals and strengthens its collaborative efforts with partners in support of Saudi Arabia's housing sector.
