Wales replaces Peter Hughes after he stepped down to focus on family commitments last September having spent 18 years at the building society.
Wales has worked at the lender since 2012 but prior to this he spent time at HSBC in various management roles for 20 years.
Julie-Ann Haines, chief executive at Principality Building Society, said: “Richard is an excellent appointment with his extensive banking experience, and he has great insight into the expectations of our customers having fulfilled several senior roles within Principality Commercial since joining.
“He has an exciting vision for our commercial business but he’s also acutely aware of the challenges currently faced by our clients brought about by the COVID-19 pandemic.
“I want to say a big thank you to our managing director Peter Hughes who has given 18 years of brilliant service to his clients and to Principality.
“He leaves with the best wishes of all his colleagues.”
Wales added: “I’m excited and honoured to be leading a devoted, talented group of colleagues who have consistently delivered for our customers and I look forward to building on this success.
“The current priority is to lead the business through the challenges the pandemic brings whilst continuing to support our customers at this difficult time.
“Then as we move forward focus the team in delivering some exciting projects that can make a real difference to our communities in which we operate by investing in affordable homes, driving sustainability in housing, creating economic prosperity and jobs.”
