The Saudi Real Estate Refinance Company (SRC), a wholly-owned unit of the kingdom's sovereign wealth fund, Public Investment Fund (PIF), said it has signed an agreement with Alinma Bank, a leading financial institution in the kingdom, to acquire one of its real estate financing portfolios.

This agreement completes the onboarding of all major mortgage providers in the kingdom by SRC, further highlighting the company’s role in supporting the development of a robust, efficient and liquid secondary market, and underpinning the advancement of the financial services sector, said the statement from the company.

Through partnerships with major banks and mortgage providers in the kingdom, SRC has acquired in excess of SR20 billion ($5.32 billion) in refinancing assets.

It reflects the ongoing efforts by SRC to continue to play an active support role to further develop the residential real estate sector through the expansion of its refinancing portfolio and by providing liquidity to create a stable secondary real estate market in the kingdom, said the statement.

"As part of our ongoing drive to support Vision 2030 goals, we continue our focus on enabling a best-in class secondary mortgage market with the necessary liquidity to accelerate the delivery of affordable home ownership objectives," stated CEO Fabrice Susini after signing the deal with Alinma Bank CEO Abdullah bin Ali Al Khalifa in the presence of Majid bin Abdullah Al Hogail, Minister of Municipal and Rural Affairs and Housing.

"We are working closely with our partners to achieve these goals by providing them with the capital and risk management solutions which are essential to their ability to in turn offer more access to affordable home financing solutions that meet the different needs of Saudi citizens, particularly during changing market conditions," he added.

Ali AlKhalifa, said: "We are fully aligned with SRC in our efforts to support the objectives of the kingdom’s Vision 2030’s homeownership programme. Our strategic partnership with SRC is imperative to meet the continued market demand and further enhance our financing solutions offered to eligible Saudi citizens to support their homeownership aspirations."

According to the Ministry of Housing, the Vision 2030 housing programme witnessed significant increase over the past 4 years from 47% to 60% exceeding the target of 52% by more than 8% driven by the combined efforts and partnerships within the private sector and the establishment of several government entities to cater specifically to the Saudi housing ecosystem.

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