Saudi Public Investment Fund launches Real Estate Refinance Company

The Public Investment Fund (PIF), Saudi Arabia’s sovereign wealth fund, has set up a real estate refinancing company aimed at boosting home ownership in the kingdom, which suffers from a shortage of affordable housing.

The Saudi Real Estate Refinance Company (SRC) will help to pump liquidity into the real estate financing market, which is forecast to rise to 500 billion Saudi riyals (Dh489bn) by 2026 from 280bn riyals this year. The company, which was launched in partnership with the ministry of housing and has received a licence from the Saudi central bank, the Saudi Arabian Monetary Authority (Sama), is expected to refinance up to 75bn riyals worth of mortgage debt over the next five years, reaching 170bn riyals by 2026.

Source