Jeel and Ripple Partner to Test Payments in Saudi Arabia

• Saudi banking tests blockchain as Jeel partners with Ripple in regulated sandbox trials.
• Ripple tools tested for cross-border payments, custody, and tokenization oversight.
• Sandbox trials align with Vision 2030 goals with controlled financial innovation.

Saudi Arabia’s banking sector added a new blockchain test this week after Riyad Bank’s innovation arm, Jeel, partnered with Ripple. The collaboration, announced on X by Ripple executive Reece Merrick, targets sandbox trials in Saudi Arabia. The effort involves regulated testing of cross-border payments, digital asset custody, and tokenization aligned with Vision 2030.

Sandbox Partnership Sets Scope and Structure

The agreement places all trials inside Jeel’s regulatory sandbox, which operates under Saudi financial oversight. The sandbox allows banks and technology firms to test new systems before market rollout. This structure enables Ripple to run enterprise blockchain tools within Saudi Arabia’s national financial framework.

Jeel, as Riyad Bank’s innovation unit, leads the testing environment and compliance coordination. However, Ripple supplies the blockchain infrastructure used during the trials. As per Reece Merrick, the companies signed a memorandum of understanding to guide the work.

The partnership outlines three technical areas for review. These include cross-border payments, digital asset custody, and tokenization frameworks. Each area will undergo controlled testing to assess performance, security, and regulatory alignment.

As a result, the collaboration focuses on evaluation rather than deployment. Any production use would require further approvals after sandbox reviews. This approach keeps experimentation structured and contained.

Cross-Border Payments Take Priority

The first testing phase is on international payment. Cross-border transfers remain complex due to settlement delays, intermediary fees, and limited transaction transparency. Jeel and Ripple aim to assess whether blockchain tools can reduce these frictions.

Saudi Arabia plays a major role in global remittance flows. Therefore, banks continue to seek faster and clearer settlement processes. Ripple’s infrastructure will process test transactions to measure speed, reliability, and visibility.

However, performance alone does not determine progress. The sandbox will also review transaction monitoring and data controls. These checks ensure compliance with Saudi financial regulations during every test phase.

Ripple executives stated that blockchain systems could improve efficiency in cross-border payments. Notably, these claims will face validation through real transaction testing. The sandbox allows regulators to observe results without systemic risk.

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Digital Assets and Tokenization Under Review

Past payments, the partnership extends into digital asset custody and tokenization. Digital asset custody focus is on secure storage, authorization controls, and operational safeguards. Jeel and Ripple will test whether these systems meet institutional standards.

Tokenization forms the third pillar of the collaboration. This process converts traditional assets into blockchain-based representations. Financial institutions view tokenization as a tool to improve settlement efficiency and asset management workflows.

However, all tokenization trials remain subject to regulatory limits. The sandbox framework allows testing while preventing unapproved market exposure. This method keeps innovation aligned with oversight.

Reece Merrick described the initiative as part of Saudi Arabia’s broader digital transformation. He emphasized working with local partners to integrate blockchain into existing infrastructure. George Harrak, Jeel’s CEO, also highlighted the sandbox’s role in responsible experimentation.

The collaboration further strengthens Ripple’s regional footprint. At the same time, Jeel gains access to enterprise blockchain systems already tested in other markets. This balance supports structured knowledge exchange.

The project fits within Saudi Arabia’s Vision 2030 agenda, which prioritizes financial modernization. Regulators continue to monitor each phase to ensure stability and compliance.

The Jeel and Ripple partnership places blockchain testing inside Saudi Arabia’s regulated banking environment. It combines sandbox oversight, enterprise technology, and institutional coordination. The trials examine payments, custody, and tokenization without moving into live deployment.