New Banking Products and Services Regulation

SAMA will not process any application that does not meet or fulfill the above mentioned documentations. 8. Effective Date This regulation shall be effective by 1 st of March 2024. Once effective, this regulation shall supersede the existing SAMA New Banking Products and Services Guidelines issued by circular No. 391000006163 in 18-01-1439H (08-10-2017G) . 9. Annexure Filling Form Instructions 1. This form is for new banking products and services in accordance with the New Banking Products and Services Regulation (second version / Nov 2023). 2. The form must be fully filled out by the bank. 3. The bank must verify the accuracy of the information filled in this form. 4. The form must not be modified in any way. 5. This form and supporting documents such as contracts, terms and conditions should be sent in two formats (Word-PDF) along with the other requirements as shown in annexure (1) to Banking Licensing Division via ( [email protected] ) Bank name Product or service name Purpose of the application ☐ Notifying SAMA before launching a new product or service. ☐ Obtaining SAMA's no-objection for launching a new product or service according to clause (7.2.1) ☐ Obtaining SAMA's no-objection for launching a new product or service according to clause (7.2.2) . Is it a material change to an existing product or service? ☐ Yes ☐ No Provide date of previous Notification/Non-objection: Day/Month/Year Launching date: Day/Month/Year New product or service expected launch date: Day/Month/Year The rules and regulations that were taken into account in developing this product or service Product or service type (You can check more than one) ☐ Savings ☐ Personal finance ☐ Credit card ☐ Financial Derivatives ☐ Home finance ☐ Prepaid cards ☐ Financial lease ☐ Corporate finance ☐ Banking services ☐ E-service ☐ Treasury product ☐ Other: Annexure (1): Checklist No. Document Attached Yes No Not Applicable 1 A formal letter signed by the Chief Compliance Officer notifying or requesting SAMA's no-objection to offer new product or service ☐ ☐ 2 Application form for new banking products and services ( Annexure 2 ) ☐ ☐ 3 Statement of compliance ( Annexure 3 ) ☐ ☐ 4 Consumer protection checklist (for retail products and services) signed by the Product or Service Developer and Chief Compliance Officer ( Annexure 4 ) ☐ ☐ ☐ 5 Copies of supporting documents e.g. terms and conditions, contracts, process workflow (Images), promotional material and any other related documents ☐ ☐ ☐ 6 Contract draft / service level agreement (SLA) / non-disclosure agreement (NDA) if there is a third party in the product and service ☐ ☐ ☐ 7 Risk assessment report which describe the product or service all inherent risks from both the bank's and customer's perspective together with the systems and processes that are in place to mitigate these risks. The following risks need to be considered at minimum: Credit Risk Market Risk Operational Risk Strategic Risk AML&CFT Risk Legal Risk Technology Risk Cyber Risk Fraud Risk Business Continuity Risk Data Privacy Risk Reputational Risk ☐ ☐ ☐ 8 Necessary Shari’ah Committee Approvals for new Shari’ah Compliant Products or Services. ☐ ☐ ☐ I, the undersigned, acknowledge that all the above-mentioned data and information and attached documents are correct, accurate and complete Chief Compliance Officer Date Day/Month/Year Signature Annexure (2): Application Form for New Banking Products or Services A detailed description of the product or service: Product or Service Risk Classification (For example: High, medium, low risk): Did The bank completed the independent evaluation required under clause (7.1) ? ☐Yes ☐No Evaluation date: Day/Month/Year Is the bank complied with the required maturity level in the frameworks mentioned in clause (7.1) ? ☐Yes ☐No Notes: Product or service objectives: Product or service features: Product or service offering journey: Product or service delivery channel(s): ☐ Bank branches ☐ E-Channels ( ☐ Phone Banking, ☐ Mobi