The Saudi Real Estate Refinancing Company (SRC)—wholly owned by the Public Investment Fund—that it has signed a joint cooperation agreement with Al-Jazira Bank to purchase a mortgage portfolio belonging to the bank valued at over 300 million riyals, in the presence of His Excellency the Minister of Municipal, Rural Affairs, and Housing and Chairman of the Board of Directors of the Saudi Real Estate Refinancing Company, Mr. Majid bin Abdullah Al-Hogail.

The agreement builds on a previous agreement between the two parties, bringing the total value of refinanced mortgage portfolios to 480 million riyals, The agreement was signed on behalf of the Saudi Real Estate Refinancing Company by its CEO, Fabrice Susini, and on behalf of Al-Jazira Bank by the bank’s CEO and Managing Director, Nayef Al-Abdulkarim. The agreement aims to refinance the portfolio to provide long-term liquidity to the residential mortgage market in the Kingdom and facilitate risk management in the sector.
The CEO of the Saudi Real Estate Refinancing Company that the company continues to expand its partnerships with real estate financiers to achieve the objectives of the Housing Program—one of the programs of the Kingdom’s Vision 2030—which is to increase the home ownership rate among Saudi families to 70% by 2030—by supporting the mortgage market and financial institutions to provide the best innovative financial solutions, and to increase the real estate finance sector’s contribution to GDP.
He noted that the agreement signed with Al-Jazira Bank is the largest real estate refinancing agreement in the banking sector, which demonstrates the company’s ongoing support for mortgage service providers through liquidity and risk management solutions to offer affordable mortgage financing and increase homeownership rates.
For his part, the CEO and Managing Director of Al-Jazira Bank noted that the long-term partnership with the Saudi Real Estate Refinancing Company will work to provide mortgage financing solutions for residential properties that meet the aspirations of Saudi families by providing the necessary financial liquidity to enhance the sustainability of financing solutions for families, expanding the beneficiary base amid growing demand for residential financing, and providing the capital and risk management tools necessary for our comprehensive operations and capital allocation, in order to achieve the objectives of the Housing Program—one of the programs of the Kingdom’s Vision 2030.