Logo of the government-backed savings product for individuals (Sah)
Subscription to the government-backed savings product for individuals (Sah) will start tomorrow, De. 1. Shariah-compliant securities are issued by the Saudi Ministry of Finance and arranged by the National Debt Management Center (NDMC).
The return is set at 4.83%. The allocation is set to take place on Dec. 10. The redemption period will run from Dec. 15-18. Redemption amounts will be paid on Dec. 22.
The product is allocated for individuals with lucrative returns that are offered on a monthly basis, in accordance with the issuance calendar. The saving period is for one year with a fixed return and the accrued yields are disbursed at the end of the sukuk’s term (maturity date).
Sah is for Saudi citizens only, who are over the age of 18 years, provided the subscriber has an account with either SNB Capital, AlJazira Capital, Alinma Investment, SAB Invest or Al Rajhi Capital.
The fees-free product is characterized as compatible with Shariah standards, government-backed, low-risk, easy to subscribe, besides offering lucrative returns with no restrictions on redemption.
It aims to enable individuals to make better financial planning, increase the percentage of individuals who save periodically, provide a safe savings method, increase the supply of savings products and strengthen the culture of savings.
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New Product Details |
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Issue type |
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Sah, which is the first Shariah-compliant savings product intended for individuals in the form of sukuks within the Kingdom’s local SAR-denominated sukuk program. |
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Start of subscription to the first issue |
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Dec. 1, 2024 (at 10:00 am) |
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End of subscription to the first issue |
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Dec. 3, 2024 (at 3:00 pm) |
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Target category |
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Saudi individuals above the age of 18 |
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Minimum subscription limit |
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SAR 1,000, which is equivalent to the value of one sukuk |
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Maximum subscription limit |
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SAR 200,000 for the total number of issues per individual during the program period |
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Yield payment date |
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The annual yield on the sukuk will be paid on the maturity date |
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Sukuk par value |
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SAR 1,000 |
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Sukuk yield |
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4.83% |
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Maturity date |
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Calendar year |
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Redemption request |
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Sukuk holders can request redemption during the periods specified according to the annual calendar published for “Sah”, and the accumulated profit will not be accrued upon early withdrawal |
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Financial institutions that provide subscription service |
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SNB Capital, Al Rajhi Capital, AlJazira Capital, Alinma Investment, and SAB Invest |
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Return rate |
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Depends on market conditions from month to month |
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Do savers pay Zakat for Sah product? |
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No |
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