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Financial and Economic Dictionary

A collaborative initiative uniting 11 partners from the government sector, this dictionary is built to serve as a unified reference and vital knowledge hub for specialists and enthusiasts alike. It aims to enhance financial literacy, support the Kingdom's development process in light of Saudi Vision 2030, at a time when terminology is no longer just a linguistic tool, but have become pillars of knowledge on which policies are built, legislation is formulated, and dialogue between specialists, decision-makers and relevant authorities in the financial sector is managed.

Your gateway to comprehensive financial knowledge with more than 2000 financial and economic terms

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أ ب ت ث ج ح خ د ذ ر ز س ش ص ض ط ظ ع غ ف ق ك ل م ن ه و ي

Most searched terms

Secured Credit Card

A credit card backed by a cash deposit as collateral to reduce lender risk.

Leveraged Buyout (LBO)

The acquisition of a company using a significant amount of borrowed funds, with the target company's assets often used as collateral.

Beneficiary Offboarding

The process customers go through when they stop using a digital product or service.

Supply Chain Disruptions

Disruptions in supply chains causing delays, and increased costs.

White-Box Testing

A method of software testing examining internal structures and workings.

Underwriting

The process by which financial institutions assess risk and approve securities, loans, or insurance.

Disbursement Order

An instrument created by the government bodies to record expenditures to be ready for payment.

Non-Oil Revenues

Resources obtained by a country from all its activities, with the exception of oil revenues, oil taxes, and oil profits.

Stage Gate

A methodology used in project management to review and assess the completion of a specific project phase, enabling key decisions on proceeding to the next phase, terminating the project, or continuing with modifications.

Liquidation of the Fund

A maximum period of 6 months from the next day of the date for the Termination of the Fund, during which the assets of fund must be fully liquidated in accordance with the provisions of the Investment Funds Regulations and the Real Estate Investment Funds Regulations.

Compensation

Cash or in-kind consideration that is estimated in accordance with the law.

Total Contract Costs

The total cost, whether direct or indirect costs, which represent the sum of variable and fixed costs.

Table of Quantities

A list of all the materials and costs for each item.

Escrow Account

A secure, third-party account that holds funds or assets until specific conditions are met, commonly used in real estate, business transactions, and legal settlements.

Share of GDP Per Capita

The proportion of GDP allocated per individual in a country. It is calculated by dividing the country's GDP by its population. This indicator is used to measure the standard of living of individuals in the economy.

Corporate Governance

The system of rules, practices, and processes used to direct and control a company.

Fiscal Space

The amount of financial resources a government possesses and the level of spending it can sustain without harming economic stability or increasing debt unsustainably.

Disbursement Plan

Check and sort out the existing payment orders and priorities of exchange based on the available liquidity.

Self-Control

A control approach in which the entity is responsible for overseeing its financially significant operations through its personnel, in accordance with internal control procedures that are evaluated and approved.

Proceeds

Revenue generated from the exploitation of naturally occurring assets.

Broker

An employee of a Capital Market Institution who performs the activity of dealing on behalf of a Capital Market Institution.

Financial Liquidity

The availability of government funds or financial resources that can be readily allocated or used for various purposes.

Purchasing

Includes buying a security or commodity for consideration.

Public-Private Partnerships (PPP)

Collaborative arrangements between public sector entities and private businesses to jointly undertake projects, services, or infrastructure development.

Reclassification Net

The difference between the transferee to and the transferee from reclassifications made to the government entity, which should be zero.

International Monetary Fund (IMF)

An international organization aimed at enhancing monetary cooperation, promoting trade expansion, and fostering sustainable economic growth among member countries.

Controls

Measures, policies, and procedures implemented by institutions to manage and mitigate risks, to ensure the integrity and reliability of financial information.

Return on Investment (ROI)

A financial metric that evaluates the profitability of an investment relative to its cost. It is widely used in business and finance to assess the success or effectiveness of an investment by comparing the gains or benefits to the initial investment.

Money Supply (M1)

Currency in circulation outside banks plus demand deposits.

Liquidity Premium

The additional return required by investors for holding less liquid assets, which are harder to buy or sell quickly.

Consolidated Financial Statements

The financial statements of an economic entity in which the assets, liabilities, net assets/equity, revenue, expenses and cash flows of the controlling entity and its controlled entities are presented as those of a single economic entity.

Investor

A person who is eligible by virtue of relevant laws and regulations to practice business and investment activities.

Growth Rate

The percentage increase in economic indicators like GDP or investments over a period.

Public Tender

Inviting all suppliers and contractors without specification to bid to fulfill the needs of the government entity.

Actual Revenue Ratio of Estimated

The total revenues expected to be collected during a given future period to come.

Public Expenditures

Accounts (items) that have an economic classification, but do not have a subaccount number.

Marginal Propensity to Consume (MPC)

The percentage of additional income that a household spends instead of saving.

Assets Ownership Transfer

A contractual arrangement related to Infrastructure or Public Services that results in transferring ownership of an asset from a government entity to a Private Party.

Digital Economy

An economy that relies on digital technology and the internet to conduct business and financial transactions. It includes activities such as e-commerce, digital payments, cloud services, and the use of data and artificial intelligence to improve processes, including e-commerce, online services, and fintech.

High Order

A document that is not bound by a specific format or structure, bearing the signature of the King in his capacity as Prime Minister, and which may also be issued by the First or Second Deputy Prime Minister when either of them presides over the council. Such royal orders typically relate to matters that serve the interests of citizens. Perhaps the closest example of this is the decision issued yesterday to allow women to drive.

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