The Saudi Real Estate Refinance Company (SRC) Launches First First Residential Mortgage-Backed Securities (RMBS) Transaction
Riyadh, August 24, 2025
The Saudi Real Estate Refinance Company (SRC), a wholly owned subsidiary of the Public Investment Fund (PIF), has announced the successful launch of the Kingdom’s first Residential Mortgage-Backed Securities (RMBS) transaction.
The milestone deal marks a new chapter in Saudi Arabia’s capital markets, introducing a securitized residential mortgage asset class designed to enhance liquidity, diversify investment opportunities, and strengthen long-term financial stability. By pooling residential mortgage loans into securities, the initiative opens the door for investors to access high-quality credit assets with medium-term maturities.
His Excellency Majid bin Abdullah Al-Hogail, Minister of Municipalities and Housing and Chairman of SRC, described the launch as a strategic milestone for the Kingdom’s financial sector.
“This initiative introduces innovative financing instruments that not only strengthen Saudi Arabia’s real estate finance market but also align with Vision 2030 objectives of expanding homeownership and improving quality of life for Saudi families,” Al-Hogail said.
Majeed bin Fahd Al-Abduljabbar, CEO of SRC, emphasized the role of collaboration with regulatory bodies and national programs in making the deal possible.
“The launch of the first RMBS transaction represents a qualitative leap in developing the secondary mortgage market. It will enhance liquidity, broaden the investor base, and help financing institutions manage risk more effectively,” he noted.
The transaction was executed under stringent regulatory frameworks with oversight from the Saudi Central Bank (SAMA), the Capital Market Authority (CMA), and other key stakeholders, reinforcing investor confidence in the maturity of Saudi Arabia’s financial system.
Established in 2017, SRC plays a central role in supporting the Housing Program—one of the pillars of Saudi Vision 2030—by providing liquidity to mortgage financiers and enabling more affordable housing options. The company continues to position itself as a catalyst for sustainable growth in the Kingdom’s secondary mortgage market.
Venkat