SRC and Alrajhi Bank's Renewed Agreement Pours SAR 5.8 Billion Into Saudi Real Estate Financing
In a move aimed at bolstering the Kingdom's housing market, the Saudi Real Estate Refinance Company (SRC), a subsidiary fully owned by the Public Investment Fund (PIF), has expanded its refinancing collaboration with Saudi-listed Alrajhi Bank.
The renewed agreement adds an impressive 5.8 billion Saudi riyals, equivalent to $1.55 billion.
With this enhancement, the cumulative value of refinancing arrangements between SRC and Alrajhi Bank now stands at a substantial SAR 10.8 billion, as detailed in a recent SRC announcement.
Majeed Fahad Alabduljabbar, CEO of SRC, commented on the development, highlighting its significance. "Our continued collaboration with Alrajhi Bank underscores the joint commitment to advancing the Kingdom's housing sector," Alabduljabbar stated.
He further emphasized the initiative's objective: to simplify home financing processes, ultimately leading to a surge in home ownership rates across the nation.
Earlier in December 2023, SRC marked another milestone by finalizing its sukuk issuance, amounting to SAR 3.5 billion.
This issuance, falling under its SAR 20 billion government-guaranteed sukuk program, comprised two segments with dual tenors spanning five and seven years, reinforcing SRC's robust financial strategies in the real estate sector.