Article 39 of the Saudi Finance Companies Control Law
المادة 39 من نظام مراقبة شركات التمويل
The article requires the Governor to issue the Implementing Regulations within ninety days of the date the Law was issued, to be applied after it takes effect.
Official text (Arabic)
This article has not been amended since the law was issued.
يصدر المحافظ اللائحة خلال تسعين يوماً من تاريخ صدور النظام، ويعمل بها بعد نفاذه.
This is the official Arabic wording, the only legally binding version. We do not translate the law itself; the explanation below is ours. Official source: Bureau of Experts at the Council of Ministers
Article 39 explained in plain English
This article regulates the issuing of the Implementing Regulations of the Law, and contains three elements:
- Who issues them: the Governor, who under Article 1 is the Governor of the Saudi Arabian Monetary Authority.
- The period: within ninety days of the date the Law was issued.
- When they apply: the Implementing Regulations are applied after the Law takes effect.
The Implementing Regulations are very important in this Law, because many of its provisions refer to them for details. Note that the period for issuing the Implementing Regulations is counted from the date the Law was issued, whereas their application is tied to its taking effect.
It is followed by Article 40, which provides that the Law takes effect after ninety days from the date of its publication in the Official Gazette. It is preceded by Article 38, which provides that the Law repeals whatever provisions conflict with it.
To learn what the Implementing Regulations provide on a particular matter, you can consult a lawyer who specializes in banking and finance.
Translated from our Arabic explanation with machine assistance. For guidance only; it does not replace advice from a lawyer on your situation.
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Frequently asked questions about Article 39 of the Saudi Finance Companies Control Law
Who issues the Implementing Regulations of the Finance Companies Control Law?
The Governor issues them, who under the definition in Article 1 is the Governor of the Saudi Arabian Monetary Authority.
When are the Implementing Regulations applied?
They are applied after the Law takes effect, and are issued within ninety days of the date the Law was issued.
More articles on Definitions and Scope of the Finance Law
- Article 1
The article defines the main terms in the Finance Companies Control Law, such as finance company, beneficiary, consumer, license and finance.
يقصد بالألفاظ والعبارات الآتية - أينما وردت في هذا النظام - المعاني المبينة أمام كل منها، ما لم يقتضِ السياق خلاف ذلك: النظام : نظام مراقبة شركات التمويل. اللائ
- Article 2
The article sets the scope of application of the Law: it applies to finance companies licensed in accordance with its provisions.
يسري هذا النظام على شركات التمويل التي يرخص لها وفقاً لأحكامه.
- Article 3
The article requires licensed finance companies to carry on finance in a way that does not conflict with Islamic Sharia, according to Sharia committees they choose, and without prejudice to the soundness of the financial system and fairness of dealings.
تزاول الشركات - المرخص لها بموجب هذا النظام - أعمال التمويل بما لا يتعارض مع أحكام الشريعة الإسلامية، بناءً على ما تقرره لجان شرعية تختار أعضاءها تلك الشركات، و
- Article 36
The article gives companies and institutions that carried on finance in the Kingdom before the Law took effect a period of two years to regularize their positions in accordance with its provisions.
تمنح الشركات والمؤسسات العاملة التي تزاول نشاط التمويل في المملكة قبل سريان هذا النظام مهلة سنتين لتسوية أوضاعها وفق أحكام هذا النظام.
- Article 37
The article makes the Zakat and Income Authority the body that issues the criteria needed to calculate the zakat base of finance companies.
تصدر مصلحة الزكاة والدخل المعايير اللازمة لاحتساب الوعاء الزكوي لشركات التمويل.
- Article 38
The article provides that the Finance Companies Control Law repeals whatever provisions conflict with it.
يلغي هذا النظام كل ما يتعارض معه من أحكام.
The texts are reproduced from the official website of the Bureau of Experts at the Council of Ministers for reference; where they differ, the officially published Arabic text prevails. This content is not legal advice.