Saudi Arabia: Adopted Regulatory Sandbox for Financial Institutions and Fintechs

On 11 February 2019, the Saudi Monetary Authority (SAMA) announced the Regulatory Sandbox Framework. It is a tool that was developed as part of Vision 2030. Vision 2030 is an all-encompassing blueprint that covers many development goals for Saudi Arabia. Vision 2030 includes a financial sector development program that supports a diversified and innovative market. The sandbox has been developed as part of this program, where its function lies in giving financial services companies a "safe space" to test new digital solutions. The sandbox will review companies that are introducing non-regulated technology or new FinTech solutions. Topics include QR code purchases, point-of-sale devices, e-wallet services, etc. After a review of six months, SAMA decides whether the technology or service may hit the market. The Sandbox has already permitted 7 financial services companies regarding digital payments.