Damanat CEO: New Financing Products to Be Launched in Q1 2024

Hussam bin Youssef Radwan, CEO of the Saudi Housing Guarantee Company “Damanat”, has confirmed that the company is set to launch new financing products in the first quarter of 2024 as part of its ongoing efforts to achieve the objectives of the Housing Program, one of the key initiatives under Saudi Vision 2030.

The CEO stated that Damanat, which was fully established with a capital of SAR 18 billion and is wholly owned by the Real Estate Development Fund, has been officially accredited by the Saudi Central Bank (SAMA) and licensed to operate in the general insurance and protection and savings insurance sectors. The company will work in alignment with the housing ecosystem under the supervision of SAMA, fulfilling its core mandate, pointing out that Damanat is the first of its kind in the Middle East.

Radwan further explained that Damanat will contribute to the development of the mortgage market, with continuous support from SAMA to enhance the financial sector’s efficiency and flexibility while fostering financial service innovation, aiming to enhance the level of financial inclusion in the Kingdom. The strategic partnership between Damanat and financial institutions, including banks and financial institutions, aims to maximize local and regional opportunities for mortgage market growth in Saudi Arabia. This will be achieved by leveraging the rapid expansion of the Saudi financing market, creating an attractive business environment for foreign investors, and collaborating with the Saudi Real Estate Refinance Company (SRC) to support banks and facilitate the issuance of mortgage-backed securities, following successful global models.

Radwan also highlighted Damanat’s highly skilled national workforce, dedicated to enhancing the company’s operational efficiency and fostering strong partnerships with key stakeholders in the housing and financial sectors including banks and financial institutions. He reaffirmed Damanat’s commitment to fintech adoption and digital transformation, leveraging enabling technologies to ensure sustainable growth in the mortgage financing sector in the Kingdom.