internal audit

The Internal Audit team at alrajhi bank safeguards the integrity, effectiveness, and reliability of the bank’s internal control environment. Its scope covers all aspects of the bank’s operations, including corporate governance, business activities, IT systems, cybersecurity, personnel, subsidiaries, and international branches. ESG-related areas are also reviewed across various audit engagements as part of the approved annual Internal Audit Plan.

The team conducts regular evaluations of the adequacy and effectiveness of the internal control system in accordance with the annual plan approved by the Audit Committee. These reviews are complemented by independent assessments performed by external auditors and periodic audits conducted by the Saudi Central Bank (SAMA). The internal audit team also performs an annual review of the HR department to verify staff compliance with the Code of Conduct and reports completion status and categories of violations to the Board Audit Committee.

All identified audit findings are reported, monitored, and tracked through established processes to ensure corrective actions are taken promptly by management. These measures contribute to strengthening the control environment and mitigating associated risks. Based on ongoing evaluations, alrajhi bank confirms that it maintains an effective and adequate internal control system that operates appropriately and is continuously monitored and enhanced. Nevertheless, the bank acknowledges that no internal control framework can provide absolute assurance against all risks.

During 2025, the combined efforts of the Internal Audit, Risk, and Compliance functions contributed to further strengthening the bank’s internal controls. Their reviews provided reasonable assurance regarding the adequacy of applied controls, the effectiveness of systems and procedures for identifying and evaluating high-risk areas, and the soundness of the bank’s responses to emerging risks. Internal Audit also performs periodic verification of documentation, records, and completion status of mandatory ethics and anti-corruption trainings. Any issues identified in this area are addressed by management in a timely manner.

alrajhi bank remains firmly committed to the highest ethical and professional standards and has implemented a comprehensive Whistleblower Policy to prevent, detect, and respond to any act of bribery or corruption. The bank encourages employees across all branches and subsidiaries, both locally and internationally, to report violations or concerns, including misconduct, manipulation, vandalism, bribery, corruption, breaches of policies, or aiding and abetting. Multiple reporting channels are available, including a dedicated hotline and email. The Whistleblowing and ABC Department owns and oversees the Policy, while the Legal Department within the Human Resources Group investigates and takes necessary action against employees involved in misconduct or corruption.

Internal Audit performs periodic audits of the Whistleblowing and ABC Department in line with the approved Internal Audit Plan to ensure proper governance, compliance, and policy effectiveness. Through continuous oversight, risk-focused reviews, and collaboration with other control functions, the Internal Audit Group plays a key role in reinforcing transparency, accountability, and strong governance across alrajhi bank.