Riyadh - Sharikat Mubasher: The Saudi Central Bank (SAMA) issued the updated rules for engaging in debt-based crowdfunding, increasing the credit limits from SAR 5 million to SAR 7.5 million, in a move to promote the finance sector in general and enable the fintech sector in particular.

According to SAMA’s updated rules, the total amount of existing finance provided to micro, small, and medium-sized enterprises (MSMEs) must not exceed SAR 7.5 million. However, debt-based crowdfunding companies can offer finance amounts exceeding SAR 7.5 million to large commercial enterprises, licensed real estate development enterprises, or in the event of obtaining a written no-objection from SAMA.

The central bank had previously published the updated draft rules for engaging in debt-based crowdfunding, seeking comments and feedback from the public and experts to achieve transparency and public participation.