In a meeting organized by the Real Estate Committee at the Chamber of Commerce and Industry in Riyadh earlier this week, Al-Zughaibi confirmed the Fund's intention to dry up the waiting lists within a period of five to seven years, and listed the advantages of the Fund's transformation into a financial institution and its enhancement of opportunities to raise capital, develop resources through debt instruments and sukuk, and raise the efficiency of the Fund's performance.
Al-Zughaibi Al-Zughaibi explained that the launch of the “Guarantee Fund to support real estate financing” initiative with all its targeted components (citizens, investors, financiers) comes in line with the directives of the leadership to support the largest segment of citizens by all possible means, and to create programs and initiatives based on partnership with financial institutions and the real estate development sector, and this is consistent with the direction aimed at transforming the Fund into a financial institution, which has come a long way, especially after forming a working group of a number of Saudi competencies to start planning and implementation of this transformation.
Al-Zughaibi touched on the accelerated loan, explaining that the Fund will conclude accelerated loan agreements with all financing facilities to create multiple and competitive options that benefit the beneficiary, and noted that the Murabaha rate on the loan will be competitive among financing facilities, whether banks or specialized real estate finance companies, and therefore the contract with them will be based on this rate that will be left to the financing entities.
Al-Zughaibi said that the Fund will conclude accelerated loan agreements with all financial institutions to create multiple and competitive options that benefit the beneficiary.
