RIYADH: A new mortgage guarantee services firm is set to offer additional protection to Saudis looking to get on the housing ladder. Dhamanat has been issued a license by the Saudi Central Bank, also known as SAMA, to provide general and savings insurances, alongside the mortgage provision Fully owned by the Saudi Real Estate Development Fund, Dhamanat was established with SR18 billion ($4.7 billion) in capital to help achieve the Kingdom’s Vision 2030’s housing objectives through encouraging firms to offer subsidized home ownership financing solutions. The CEO of REDF, Mansour bin Madi, said that the launch of Dhamanat comes in the context of the keenness to facilitate Saudi citizens’ journey toward homeownership, Al Ekhbariya reported. He emphasized that Dhamanat is a key enabler in the issue of financing guarantees to facilitate citizens’ homeownership and support the real estate development sector in implementing off-plan sales projects in various regions in the Kingdom. The primary objective is to foster the development of the mortgage market in collaboration with financial institutions, such as banks and financing entities. Additionally, Dhamanat seeks to contribute to the establishment of a secondary market for the mortgage sector, Bin Madi explained. He further added that the creation of the new firm aligns with the long-term plans of REDF, which focuses on providing enhanced financing options and innovative housing solutions. By working hand in hand with financial institutions, the aim is to promote accessibility to affordable housing and facilitate homeownership for individuals and families in the country, he added. The licensing of Dhamanat falls in line with the Cooperative Insurance Companies Control Law and SAMA’s regulatory and supervisory role to promote financial stability and foster economic growth and development in the Kingdom. It is also projected to contribute to the broader goals of Saudi Vision 2030, further cementing SAMA’s position as a pillar in the national strategy. SAMA said it always seeks to support and enable the insurance sector’s stability and evolution in the hopes of attracting new segments of investors as well as firms that could bring about added value and introduce distinctive business models in the sector. SAMA’s end goal is to achieve financial inclusion in the Kingdom by boosting the efficiency of financial transactions and promoting innovative, top-notch financial solutions.