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RIYADH: Saudi Arabia has launched the subscription to its first financial savings product devoted to people – Sah –  with a yield reaching 5.64 % on the primary issuance.

Registration for the Islamic-compliant bond, issued by the Ministry of Finance, began on Sunday, Feb. 4, at 10 a.m. and can finish on Tuesday, Feb. 6, at 3 p.m.

The Sah bonds are organized by the Nationwide Debt Administration Heart and designed as a financial savings product for people, providing enticing returns. 

The bonds are supplied month-to-month in response to the issuance schedule, with a one-year financial savings interval, mounted returns, and earnings disbursed on the finish of the bond’s maturity date.

Future returns will likely be decided based mostly on market circumstances from month to month.

The NDMC responded to the commonest questions concerning the product as follows:

What’s “Sah”?

Sah is the primary financial savings product particularly designed for people and compliant with Islamic Shariah within the type of bonds underneath the Kingdom’s native bonds program in Saudi riyals.

What’s the goal of issuing Sah?

The objective is to reinforce monetary planning for the longer term, enhance particular person financial savings charges by encouraging periodic deductions from their revenue for financial savings, and broaden the vary of financial savings merchandise out there.

Who’s accountable for issuing Sah?

It’s issued by the federal government of the Kingdom by means of the Ministry of Finance and the Nationwide Debt Administration Heart.

What are the options of Sah?

It’s Shariah-compliant, presents annual returns, simple subscription, no charges for individuals, and no restrictions on redemption.

Is Sah compliant with Islamic Shariah?

Sure, it’s.

How are Sah bonds supplied?

Via taking part monetary establishments.

Which monetary establishments present the subscription service for Sah?

SNB Capital, AlJazira Capital, Alinma Funding, SAB Make investments and Al Rajhi Capital.

Are there any charges for subscribing to Sah?

There aren’t any charges for individuals.

What’s the worth of the bond?

The nominal worth of the bond is SR1,000 ($266.66).

Is the bond worth mounted or variable?

It’s mounted.

Is the yield mounted or variable?

The yield is mounted for every issuance.

What’s the minimal subscription quantity for Sah?

The minimal is SR1,000, equal to the worth of 1 bond.

What’s the most subscription quantity for Sah?

SR200,000 for the overall issuances per particular person throughout this system interval.

When are Sah earnings distributed?

The annual earnings for the bonds will likely be paid on the maturity date.

What does the “maturity date” imply?

It’s the date when the bond interval ends, and the maturity date is within the Gregorian calendar.

How are the bond worth and returns paid after maturity?

Subscription quantities with earnings – if any – will likely be transferred to the bondholder straight after the maturity date.

What’s the danger proportion when subscribing to Sah?

Low danger.

Who’s the focused certified subscriber?

Saudi people aged 18 and above.

What’s the yield proportion for Sah?

Returns depend upon market circumstances from month to month.

Can Sah bonds be purchased and bought by means of buying and selling within the monetary market?

No, the bonds will likely be registered however not traded out there.

Is there a devoted utility for subscribing to Sah?

There isn’t any particular utility for subscribing to Sah; subscriptions are made by means of taking part monetary establishments.

Why is the yield not elevated?

The yield for every issuance is set based mostly on market circumstances from month to month.

Can I withdraw my funds every time I need?

Sure, bondholders can request redemption in the course of the specified durations as per the revealed annual calendar for Sah, and collected earnings won’t be forfeited upon early withdrawal.

Can I subscribe with greater than SR1,000?


I’ve financial savings exceeding SR1,000; how can I make investments them?

You may allocate an appropriate quantity every month for subscription to Sah.

If I subscribe with SR10,000, what would be the return?

The return is dependent upon the desired yield for every issuance.

Why is the product named Sah?

It’s derived from Authorities Bonds.

Can I subscribe at any time?

There’s a predefined subscription interval, as outlined within the annual calendar for Sah.

Does the Sah product cowl zakat for savers?

No, the Sah product doesn’t cowl zakat.