December 2022

RIYADH, 15 December 2022 – The Diriyah Gate Development Authority signed a memorandum of understanding with the Saudi British Bank (SABB) to strengthen and broaden cooperation on financing solutions and banking services which included an agreement regarding the purchase of residential units.

The MoU was signed by Jerry Inzerillo, the Group Chief Executive Officer of DGDA, and Tony Cripps, SABB’s Chief Executive Officer. Focused on facilitating collaboration between the two parties, the agreement seeks to improve cooperation in areas related to investment and banking solutions that serve a variety of functions related to DGDA and its projects to achieve their strategic goals

The MoU focuses on establishing a set of corporate and retail banking services for DGDA, inclusive of e-commerce products, such as import and export Letters of Credit, import and export document collections, bank letters of guarantee, and shipping letters of guarantee. SABB’s Corporate Banking Group will also extend cash flow management, collection and payment services to the Authority, while the Retail Banking Group will provide personal and real estate financing solutions. Additionally, SABB will establish a specialized account management product that measures “off-plan sales” and includes a comprehensive reporting system that enables DGDA to maintain a clear, detailed view of its ongoing projects.

Inzerillo emphasized the importance of collaboration between the two sides, highlighting the agreement’s ability to create pathways for better fiscal efficiency, ensure business continuity, and seamlessly streamline management decisions within DGDA.

The services DGDA anticipates receiving from SABB, he said, are crucial to helping DGDA achieve its objectives and will help provide an unforgettable discovery experience within Diriyah. The MoU also lays the foundation for establishing real estate funds to finance the development of property for sale, lease and other specified purposes.

In unilateral action, the agreement seeks to create avenues to exchange experience, with SABB providing feasibility studies and in-depth consultations covering investment opportunities available to DGDA. The collaborative agreement will also help DGDA classify real estate developers according to set qualification standards and the overall credit capacity of the company. Working with the Bank’s Treasury Group, the agreement additionally aims to establish a set of comprehensive frameworks to facilitate direct investment and manage foreign exchange functions.

Cripps stated that the MoU covers the possibility of providing dynamic fiscal management products tailored to the specific needs of each of DGDA’s projects, as well as comprehensive corporate and retail banking solutions. The two sides, he said, would also discuss viability consulting, structured and project financing, and joint financing operations with other financial institutions. Cripps affirmed that the MoU is a valuable measure to support the Authority and its ongoing development, leveraging SBB’s ability to deliver innovative financial solutions.

According to the MoU, both parties will also work together on refining DGDA’s investment opportunities, in addition to offering comprehensive banking services to the organization and its staff at competitive rates. The agreement will allow DGDA’s staff to take part in training courses aimed at improving their personal finance skills.