Kingdom enjoys better fiscal space: Cabinet 

Saudi Gazette report  RIYADH – The Council of Ministers on Monday emphasized that the Kingdom’s economic position is strong enough to offset the current economic and financial challenges at the local and global levels caused by a fall in oil prices.  Minister of State, Member of Cabinet and Acting Minister of Culture and Information Essam Bin Saad said the Cabinet noted that the Kingdom is capable of maintaining a better public fiscal space, preserving its reserves and bringing down its public debts. While citing the strength of the budgets of the local banks as well as their firm and intact financial indexes, the Council underlined the need for taking necessary measures that enable the Kingdom to adapt with the current challenges and achieve success in mitigating the pressures that could derail the nation’s economic growth.   The Cabinet approved a number of procedures regarding the implementation of real estate financing product named Soft Mortgage. Under the procedures, the ministry of housing, in coordination with the ministry of finance and Saudi Arabian Monetary Agency, has to carry out the project for the beneficiaries of the ministry’s various programs. This will be in compliance with the provisions of the Real estate Financing Law and not in contravention with the Islamic Shariah laws. The ministry of finance will bear not more than 15 percent of the value of the real estate financing for the beneficiaries of the programs. The period of the program shall be one year.  The Cabinet also approved changing the name of Saudi Credit and Savings Bank to Social Development Bank. It also endorsed amendments in some articles of Residential Support Law and article 5 of the End of Service Regulation.