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  • Saudi Aramco mandates banks for inaugural dollar sukuk

    Saudi Aramco has hired a large group of banks to arrange its inaugural issuance of U.S. dollar-denominated sukuk, a document showed on Monday, as it seeks cash to fulfil large commitments to its major shareholder, the Saudi government. The banks will arrange fixed income investor calls starting on Monday, the document from one of the banks showed. An issuance of sukuk in three-, five- and 10-year tranches will follow, subject to market conditions.

  • Saudi Aramco in talks with banks for new bond sale – sources

    Saudi Arabian oil group Aramco is in talks with banks for a U.S. dollar-denominated bond issue, two sources said, seeking to raise money ahead of large commitments for its major shareholder, the Saudi government. Aramco was widely expected to become a regular bond issuer after its debut $12 billion bond deal in 2019 was followed by an $8 billion, five-part transaction in November last year.

  • Saudi banks in a ‘sweet spot’ says fund manager

    “I think Saudi banks in general are in a sweet spot,” Hedi Ben Mlouka, CEO and founder of FIM partners, told Bloomberg TV on Thursday. “You are seeing growth no longer coming from a low base, we are talking big numbers here that move the balance sheet and the profitability of these banks. The ‘Shareek’ program is going to spur the first growth we have seen in corporate borrowing to support all this capex,” he said.

  • Saudi banks’ aggregate profit grows 14% in March

    Saudi Arabia-listed banks reported a 14 percent rise in aggregate net profit before Zakat and tax to the tune of SR 4.02 billion in March 2021 as against SR 3.53 billion a year earlier, according to data from the Saudi Central Bank (SAMA). The data covers 11 listed banks and some foreign banks operating in the Kingdom.

  • Saudi Tadawul Group narrows banks for IPO process – sources

    Saudi Tadawul Group has short-listed three local and three foreign banks for potential advisory roles in the financial market company’s upcoming initial public offering (IPO), three sources said. Citigroup, JPMorgan and Morgan Stanley were chosen, along with the securities unit of Saudi National Bank, Saudi Fransi Capital and HSBC Saudi Arabia, the sources said.

  • As margins fall, mortgage refinancing dynamics favor UAE, Saudi banks

    Saudi Arabia's banks have expanded their mortgage books by capitalizing on government plans to boost home ownership to 60% by 2020 and 70% by 2030, from 50% previously. "The UAE and Saudi mortgage markets are very different," said SICO's Ghosh. "In Saudi, banks are going all out to increase their mortgage lending, whereas UAE banks are a lot more skeptical."

  • Saudi Islamic Banks’ Asset Quality Prone to Deterioration; Strong Capital and Liquidity

    Saudi Islamic banks’ financial metrics deteriorated only mildly in 2020 and remained sound. Saudi Islamic banks remain well placed in the banking sector with larger retail franchises supporting higher margins, a lower cost of funding and better asset quality. Saudi Arabia has the largest proportion of Islamic banks’ financing (82%) of any country that allows conventional banks to operate alongside Islamic banks. This increased in 2020 due to strong retail mortgage growth.

  • Analysis: Saudi banks set to outperform their regional peers in 2021-2022

    However, despite the lower profitability, it is expected that the Saudi Arabian banks will outperform their regional peers in 2021-2022. This largely reflects the relatively modest impact of the pandemic on the quality of banks’ loan books to date and stronger growth of mortgage lending.

  • Saudi Aramco sends request to banks for pipeline deal financing, sources say

    Saudi Aramco has sent a request for proposals to banks for financing it wants to offer to investors looking to lease its pipelines, three sources said, a sign the oil giant is progressing with plans to extract value from its assets.

  • Saudi banks to lead the sector’s post-pandemic recovery

    “After the shocks witnessed in 2020, the Saudi economy is expected to recover in 2021-2022 due to an increase in global demand for oil and increase of private consumption. By 2022, we expect the expiry of OPEC+ quotas and higher oil prices to boost economic activity to close to 3 percent,” he told Arab News.