Saudi Arabia’s central bank has licensed Jil Aldaf Alajil Co., which operates as Jeel Pay, to provide buy-now-pay-later services. The move brings the number of finance companies licensed by the Saudi Central Bank, known as SAMA, to 78.
Jeel Pay focuses on education-related payments. Its platform allows customers to spread tuition payments over up to 12 months, while providing advance payments to partner educational institutions, according to the announcement.
The license upgrades Jeel Pay’s status from permitted BNPL provider to licensed finance company. SAMA permitted the company to offer BNPL solutions in December 2023, when it became the segment’s seventh authorized provider.
SAMA introduced BNPL rules in late 2023 covering responsible lending, consumer protection, governance, risk management and credit-risk controls. The regulator has also continued licensing companies across BNPL, consumer microfinance, debt-based crowdfunding, open banking and finance aggregation.
The central bank said the decision supports a more efficient finance sector and encourages innovative financial solutions that promote financial inclusion. It also urged consumers and businesses to use only licensed or authorized financial institutions and verify providers through SAMA’s website.
Source: Arab News
