Saudi Real Estate Refinance assets may double as mortgage sector booms

The fledgling Saudi mortgage market is a rare bright spot within the regional real estate market where prices remain broadly depressed. (File/Shutterstock)
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Updated 14 March 2021
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Saudi Real Estate Refinance assets may double as mortgage sector booms

  • Mortgages reached SR136 billion in 2020 with 6,333 new contracts

DUBAI: Saudi Real Estate Refinance assets are expected to double this year amid a mortgage boom in the Kingdom, Argaam reported.
The finance company held SR7 billion ($1.86 billion) in assets by the end of 2020, the financial news site said, citing Majeed Abduljabbar, global head of treasury and capital markets at SRC.

The fledgling Saudi mortgage market is a rare bright spot within the regional real estate market where prices remain broadly depressed.

The completion of a SR4 billion sukuk issuance was part of the company’s SR10 billion sukuk program in 2021, he noted.

It will help to boost real estate market liquidity and stability, Abduljabbar said.
The move will also help the cause of home ownership by reducing financing costs.
Mortgages reached SR136 billion in 2020 with 6,333 new contracts, he noted.
Abduljabbar expects the first quarter of the year to see further growth in mortgages for Saudi nationals.
The mortgage portfolios of Al Rajhi Bank, National Commercial Bank (NCB) and Riyad Bank saw significant growth, he added.


Saudi Absher platform delivers over $5.3bn in annual economic impact 

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Saudi Absher platform delivers over $5.3bn in annual economic impact 

RIYADH: The Saudi government’s Absher digital services platform generates more than SR20 billion ($5.3 billion) in annual economic impact, highlighting the scale of savings created by the Kingdom’s transition from paper-based government procedures to digital services, according to the Ministry of Interior. 

Speaking to Al-Eqtisadiah, Bandar bin Mashari, assistant minister of interior for technology affairs, said the savings reflect broader efficiency gains from digitization. 

This comes as government services previously delivered through manual, paper-driven processes have moved onto a unified digital platform used by millions of citizens and residents. 

“Absher is one of the oldest platforms that has had a direct impact on strengthening the efficiency of spending and in opening new avenues for providing added value services,” said Mashari. 

He said the platform’s economic impact is closely linked to the government’s digital transformation agenda, which aims to reduce operational costs while improving service delivery across public agencies. 

The assistant minister further stated that the economic impact was at SR17 billion and grew to SR20 billion according to the ministry’s latest data. 

He added that Absher has completed a shift in its financial structure, transitioning from direct state capital funding to a sustainable financing model based on self-generated income. 

Mashari also said the Ministry of Interior is moving to expand its digital capabilities beyond service delivery, with a focus on security and financial protection. 

Authorities are working toward building a secure digital ecosystem designed to combat financial fraud and crime, he said, as digital transactions and online government services continue to expand. 

Absher is the flagship digital services platform of Saudi Arabia’s Ministry of Interior and one of the Kingdom’s earliest large-scale e-government initiatives. 

Launched in 2010, the platform provides citizens, residents, visitors, and businesses with access to hundreds of government services through a unified digital portal and mobile application. 

Its services span civil affairs, passports, residency and visa services, as well as traffic and vehicle transactions, and business administration, significantly reducing the need for in-person government visits. 

Absher is widely used across the Kingdom, handling millions of electronic transactions each month and serving as a core pillar of Saudi Arabia’s broader digital transformation and Vision 2030 agenda.