Governor of the Central Bank Extended Thanks to the Leadership

The Governor of the Saudi Central Bank Dr. Fahd bin Abdullah Al-Mubarak thanked the Custodian of the Two Holy Mosques King Salman bin Abdulaziz Al Saud and HRH  Crown Prince, in his own name and on behalf of the employees of the Central Bank, on the occasion of the Cabinet’s decision to approve amending some articles of the Cooperative Insurance Companies Control System.

Al-Mubarak clarified that this approval falls within the continuous efforts to support sustainability and stability of the financial sector, strengthen the financial positions of insurance companies and consolidate supervision and control over the insurance sector, as these amendments will enhance the role of the Central Bank, in preserving the rights of the insured, beneficiaries and investors.

This amendment comes after comparing the previous system with the best practices in a number of G20 countries and other leading countries, in the field of insurance, in addition to referring to the main principles issued by the International Association of Insurance Supervisors, which sets general standards for insurance supervision.

The move shall raise the level of governance and the percentage of commitment of companies operating in the insurance sector, and thus increase their productivity and, subsequently, their contribution to the gross domestic product (GDP).

Such amendments will support enabling environment for the insurance sector, in line with the objectives of the Kingdom’s Vision 2030, strengthen infrastructure and stimulate innovation in products and services.

It will also provide an opportunity for companies operating in the sector to improve the customer experience and raise their insurance awareness, that would reflect positively on enabling individuals and companies, in terms of risks’ management.