Empowering Housing Banking Damanat: The “Social Finance housing” Project, Saudi Arabia.
- Peakline Mastery
- May 8
- 3 min read
Updated: Jun 6
In the rapidly evolving economic landscape of Saudi Arabia by the vision 2030, financial inclusion and housing access remain national priorities. When the Saudi government launched the “Damanat” initiative, a public social insurance program aimed at enabling homeownership for underserved citizens, the goal was clear: empower lower-income families—especially those excluded from traditional banking systems—with access to secure housing.
But while the intention was bold and well-received, the challenge lay in long-term efficiency and particularly funding. The program needed more than a social policy—it needed sustainability, financial resilience, and strategic investor alignment. That’s where we stepped in.
Our role was to support the director board in transitioning from a socially focused initiative to a financially solid, globally credible mechanism capable of delivering further, lasting impact.
Understanding the Landscape
At its core, Damanat addressed a significant gap in the Saudi housing system. Traditional banks were reluctant to lend to individuals working in the informal sector—those with irregular contracts, limited documentation, or insufficient credit history. This left millions ineligible for mortgages and trapped in insecure housing conditions.
The programme, run by a subdivision of national ministries from social insurance and finance, pursuing to bridge that gap. But while the government’s commitment was strong, long-term funding and operational sustainability posed serious questions. How could such an ambitious initiative move beyond dependency on state resources? And how could it meet international ESG and financial accountability standards?
Our Approach: From Social Good to Strategic Growth
Our consultants were brought on to support on addressing those questions. We began by conducting a comprehensive assessment of the program’s financial structure, social mission, and investor readiness. The result was clear: Damanat would reach a highly value system by evolving into a hybrid ESG model—one that combined strong social purpose with market-ready financial mechanisms.
We developed a three-pronged strategy:
ESG Framework Design:
We created a fully customized ESG framework tailored to the specific realities of the Damanat program. This included KPIs for social impact (such as housing security and family stability), environmental efficiency (energy-conscious building practices), and governance transparency.
Investor Strategy Development:
Rather than depend on mega-corporations or volatile institutional investment, we recommended a new approach: targeting mid-sized, socially motivated investors—those aligned with SDGs and long-term impact missions. We supported the creation of tailored investment decks and scenario planning tools that mapped out returns—not just financially, but across ESG dimensions.
AI-Driven Monitoring & Communication Tools:
To boost credibility, we integrated AI-supported analytics into the program’s data management—creating real-time dashboards to track social, environmental, and operational performance. These tools allowed decision-makers to adapt in real time and gave investors transparent access to performance metrics.
Results that Speak for Themselves
Over the course of this application, Damanat will shift in both investor perception and internal confidence. The ESG framework served as a new lens through which decisions could be made and justified—moving beyond narrative toward evidence-based impact.
A revised investment strategy is opening the door to new financing pathways, including regional green funds and Arab union or Global finance institutions.
Internal operations are streamline through tech-enabled monitoring, resulting in an average reduction of administrative overhead by 18%.
This initiative has been recognised through other global institutions and ministries, by acknowledging from national development forums as a model for inclusive finance boosted by not only complying with the international ESG standards, but moving beyond and creating a whole alternative and innovative source of income, risk reduction, and cost-effective improvements.
Most importantly, the programme positioned itself to scale. With a clearer funding path, more robust governance, and enhanced stakeholder alignment. The social housing finance became more than a social good—it became a strategic national economic development plan in Saudi Arabia’s 2030 vision progress plan.
Why This Matters
At Peakline, we believe that sustainability is not just about meeting global standards—it’s about making policy real. It’s about transforming intention into structure, impact into value, and vision into execution.
The Damanat project is a perfect example of what happens when public mission meets private-sector discipline—when social goals are paired with smart governance and ESG innovation.
This project is not just a success for Saudi Arabia vision—it is a blueprint for countries and institutions worldwide seeking to launch ambitious, equity-driven programs without compromising on financial or strategic resilience, and including ESG international frameworks from the most innovative and efficient perspective to boost the impact of the core institution principles.
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