Vision Bank kicks off digital operations in Saudi Arabia

Logo of Vision Bank, which is a local digital bank established by a consortium of companies and investors

The Saudi Central Bank (SAMA) announced its non-objection for Vision Bank to launch its digital banking operations in the Kingdom.

This development aligns with SAMA's strategy to promote the stability of the financial sector, foster trust, stimulate economic growth and encourage competition in the banking sector, while maintaining high standards of security and transparency, the central bank said in a statement today, Sept. 15.

SAMA also stressed it remains committed to strengthening the banking sector's resilience, enhancing its attractiveness and increasing its contributions to achieving Saudi Vision 2030 and its national objectives.

Accordingly, the total number of licensed banks in Saudi Arabia rises to 38 banks, including 14 local banks – three of which are digital banks – and 24 branches of foreign lenders, SAMA said.

In June, 2021, the Cabinet gave a nod to the Minister of Finance to issue the necessary licenses for Vision Bank (formerly Saudi Digital Bank) to commence its banking operations in the Kingdom, according to Argaam’s data.

Vision Bank is a local digital bank established by a consortium of companies and investors led by Abdulrahman bin Saad Al-Rashed Co., with SAR 1.5 billion capital. Among investors in the bank is Tadawul-listed Al Moammar Information Systems Co. (MIS), which contributed SAR 25 million to the bank’s capital.

Vision Bank launched the trial phase of its banking operations in Saudi Arabia earlier this year. As an initial step, it offered a variety of basic banking services to a limited number of customers, including Murabaha term deposits, bank cards, domestic transfers within the Kingdom, and bill payments.