Merger projects to grow in Saudi Arabia

According to the Saudi Central Bank (SAMA), the Saudi insurance market is expected to undergo further mergers and acquisitions in 2021. This mode of external growth allows small insurers to raise capital. The operation also allows the establishment of financial entities that offer innovative products.

In 2020, the Saudi market has experienced several insurance company mergers including:

• Aljazira Takaful Taawuni and Solidarity Saudi Takaful
• Saudi Enaya Cooperative Insurance and Amana Cooperative Insurance
• Walaa Cooperative Insurance and MetLife AIG ANB Cooperative Insurance