NDF Charter

Article 4

The Fund aims to improve the performance of development funds and banks in order to achieve the objectives of their establishment and to contribute to the Kingdom’s development and economy in light of the Kingdom’s Vision. To achieve such objectives, the Fund may exercise the broadest powers, particularly the following:

1. Undertaking the overall organizational, regulatory, and executive supervision of development funds and banks.
2. Taking the necessary measures to achieve coordination and integration between development funds and banks in a manner that ensures satisfaction of their objectives.
3. Taking the necessary measures to raise the adequacy of development financing and lending and to enhance their sustainability in development funds and banks.
4. Reviewing the competencies, strategies, statutes, structures, implementation plans, and financing and lending mechanisms of development funds and banks and updating the same to meet the requirements of development priorities, without prejudice to the competencies of the supervisory authorities, and taking necessary measures for completion of statutory procedures.
5. Participating in representing the Kingdom before relevant regional and international organizations, agencies, forums, and conferences.

Article 5

The Fund shall have a board of directors chaired by the Deputy Prime Minister, and the membership of the Governor and not less than seven members who shall be appointed pursuant to an order by the Prime Minister for a term of three years, renewable once.

The Chairman of the Board may delegate any Board member he deems fit to chair the Board meetings in his absence.

Article 6

The Board shall be in charge of developing the Fund’s general policy, in accordance with this Statute and relevant laws. It shall assume all the powers and carry out all the duties necessary to achieve the Fund’s objectives, and may, for this purpose, take any and all the necessary decisions, actions, and measures, particularly the following:

1. Approving the strategies related to the Fund’s activities as well as the plans and programs necessary for their implementation, and taking necessary measures for completion of statutory procedures.
2. Supervising the implementation of the duties assigned to the Fund and to development funds and banks.
3. Approving the Fund’s organizational structure.
4. Approving the Fund’s administrative and financial regulations and other internal and technical regulations and procedures necessary for the performance of its activities.
5. Setting the mechanisms and standards necessary for monitoring the performance of development funds and banks.
6. Approving any updates of the competencies, strategies, statutes, structures, implementation plans, and financing and lending mechanisms of development funds and banks and taking necessary measures for completion of statutory procedures.
7. Approving the Fund’s draft budget, final accounts, and annual report as well as auditor’s report, prior to their submission in accordance with applicable statutory procedures.
8. Reviewing periodic reports on the Fund’s activities and taking necessary action.
9. Proposing laws related to the Fund’s competencies as well as amendments to applicable ones.
10. Reviewing annual reports and final accounts of development funds and banks, prior to their submission in accordance with applicable statutory procedures.
11. Accepting gifts, donations, grants, bequests, and endowments, in accordance with relevant provisions.
12. Appointing an external auditor and a comptroller.
13. Approving the conclusion of agreements, protocols, and contracts, in accordance with applicable statutory procedures.
14. The Board may, in carrying out its duties, form permanent or temporary committees from among its members or others. The formation decision of each committee shall designate its chairman and members and determine its powers and duties. A committee may, in performing the tasks assigned thereto, seek the assistance of any person it deems fit.
    The Board may delegate some of its powers to Board members, the Governor, or to whomever it deems fit from among the Fund’s employees.

Article 7

1. Board meetings shall be held at the Fund’s headquarter and may be held elsewhere when necessary.
2. ​The Board shall meet upon the invitation of its Chairman at least twice a year. A Board meeting shall be deemed valid only if attended by the majority of its members, including the Chairman or his designee. Board decisions shall be passed by the majority vote of attending members. In case of a tie, the chairman of the meeting shall have the casting vote. The Chairman may invite any person he deems fit to attend Board meetings in a non-voting capacity to provide information, opinion, or clarifications.

Article 8

The Fund shall have a governor to be appointed and relieved by a decision of the Board, and said decision shall determine the monetary pay and all other monetary benefits related to the Governor. The Governor shall act as the executive director of the Fund, and shall take all the measures necessary to achieve the Fund’s objectives, and assume his responsibilities in accordance with this Statute and the Board decisions, and shall be assumed the following powers and duties:

1. Proposing and submitting to the Board strategies related to the Fund’s activities as well as the plans and programs necessary for their implementation.
2. Supervising the progress of work at the Fund through the approved regulations, plans, and programs.
3. Proposing and submitting to the Board the Fund’s organizational structure.
4. Proposing the Fund’s administrative and financial regulations and other internal and technical regulations and procedures necessary for the Fund’s performance of its duties, and submitting the same to the Board for approval.
5. Monitoring the performance of development funds and banks in accordance with the mechanisms and standards approved by the Board.
6. Proposing and submitting to the Board updates to the competencies, strategies, statutes, structures, implementation plans, and financing and lending mechanisms of development funds and banks.
7. Supervising the preparation of the Fund’s draft budget, final accounts, and annual report, and submitting the same to the Board.
8. Supervising the preparation of periodic reports on the Fund’s activities and submitting the same to the Board.
9. Signing Board – approved agreements and protocols, in accordance with applicable statutory procedures.
10. Representing the Fund before government agencies and other relevant entities within the Kingdom and abroad, and before the judiciary; he may delegate such power to whomever he deems fit.
11. Making disbursements from the Fund’s budget and taking all financial measures in accordance with the approved laws and regulations and the powers delegated thereto by the Board.
12. Contracting for the purpose of implementing works and services, in accordance with the powers delegated thereto by the Board.
13. Issuing the decisions necessary for implementing the provisions of this Statute and its implementing regulations, in accordance with the powers vested in him.
14. Appointing the Fund’s employees in accordance with relevant regulations and supervising the performance of their duties.
15. Any other task assigned thereto by the Board.
    The Governor may delegate some of his powers to whomever he deems fir from among the Fund’s employees.

Article 9

1. The Fund’s resources shall consist of the following:
   Allocations from the State general budget.
   b. Gifts, donations, grants, bequests, and endowments accepted by the Board.
   c. Any other resources approved by the Board, provided they are not inconsistent with the relevant laws and instructions.
2. The funds of the Fund shall be deposited in an account opened with the Saudi Central Bank(SAMA). Disbursement from said account shall be made pursuant to the Fund’s approved budget.

Article 10

1. The Fund shall have an independent annual budget, to be prepared and issued in accordance with the arrangements governing the issuance of the State general budget.
2. The fiscal year of the Fund shall be the same as the State’s fiscal year. As an exception, the Fund’s first fiscal year shall commence on the date this Statute enters into force and shall end on the date the State’s following fiscal year ends.

Article 11

The Fund employees shall be subject to the Labor Law and the Social Insurance Law.