|18 December, 2019

Saudi banks should not seize any amount of the cost of living allowance - SAMA

The monthly allowance was first introduced back in January 2018

Traders work at the Alistithmar Capital in Riyadh July 8, 2008.

Traders work at the Alistithmar Capital in Riyadh July 8, 2008.

REUTERS/Fahad Shadeed

The Saudi Arabian Monetary Authority (SAMA) said that banks in the kingdom must not seize or compromise any amount of the cost of living allowance that was extended until the end of 2020 by Saudi King Salman bin Abdulaziz Al-Saud.

The cost of living allowance must not be affected in any way, neither by considering it in the financing requests or other financial commitments,” SAMA said in a circular to banks.

Customers can file a complaint with the Consumer Protection Department in the event of any violation or damage, SAMA said.

The cost of living allowance is paid to state employees, military personnel, retirees and students. The monthly allowance was first introduced back in January 2018.

(Writing by Gerard Aoun; editing by Seban Scaria)

(gerard.aoun@refinitiv.com)

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© ZAWYA 2019

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