PIF-owned SRC buys $799m mortgage portfolio from Al Rajhi Bank

29/04/2026 01:39 AST

The Saudi Real Estate Refinance Co., a subsidiary of the Public Investment Fund, has signed an agreement to purchase a SR3 billion ($799 million) residential mortgage portfolio from Al Rajhi Bank.

The agreement is part of SRC's ongoing efforts to enhance liquidity and support the sustainability of the Kingdom's mortgage market.

The agreement comes at a time when the financial sector is increasingly focused on providing innovative financing solutions that contribute to market efficiency, ensure the continuity of funding, and support the residential mortgage market in the Kingdom.

By offering suitable mortgage solutions for citizens, both companies aim to contribute to achieving the objectives of the Housing Program - one of the programs under Saudi Vision 2030 - to increase homeownership rates among citizens.

SRC CEO Majeed Al-Abduljabbar explained that the agreement comes within the framework of continued support for the residential real estate market in the Kingdom and contributes to providing flexible financing solutions for Saudi families through expanding the partnership with Al Rajhi Bank.

He said that this will contribute to injecting more liquidity into the residential mortgage market in the Kingdom, noting that the agreement represents an extension of cooperation and an important step toward achieving the strategic objectives of the housing program.

Al-Abduljabbar further explained that the agreement reflects the depth of the strategic partnership between SRC and Al Rajhi Bank, and the pivotal role that both parties play in developing the residential mortgage finance system in the Kingdom. He added that this step will serve as a model to be emulated in activating mortgage refinancing solutions, contributing to achieving a balance between growth requirements and efficient liquidity management.

Through these partnerships, the company continues to support the objectives of the housing program within the Kingdom's Vision 2030 by empowering the mortgage finance ecosystem, enhancing liquidity, and expanding the investor base. This contributes to increasing homeownership rates among citizens.

The company also affirmed its commitment to supporting liquidity in the mortgage finance market by providing innovative solutions that enhance the sustainability of mortgage financing and support the strength and sustainability of the national economy.

SRC was established by the PIF in 2017 to develop the mortgage finance market in the Kingdom. After obtaining a license from the Saudi Central Bank to operate in the mortgage refinancing sector, the company now plays a key role in achieving the goals aimed at increasing homeownership rates among Saudi citizens.

This is accomplished by providing liquidity to financiers, enabling them to offer affordable housing finance to individuals, and by working closely with partners to support Saudi Arabia's housing sector.

SPA