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  • Saudi Arabian Banks: The Retail Rush

    Fast Retail Lending Growth Retail lending has historically been ignored by many Saudi banks but has expanded significantly recently and is now the primary engine of credit growth.

  • Financial performance of Saudi banks will remain under pressure: S&P

    The financial performance of rated Saudi banks will remain under pressure in 2021, on the back of lower interest rates and higher cost of risk, S&P Global Ratings said in a new report. As regulatory forbearance measures are gradually phased out and the economy adjusts to the new normal, the cost of risk will remain elevated in 2021, increasing to 140 bps (from 80 bps in 2019), before starting to gradually normalize in 2022, the ratings agency said in the report “Banks In Emerging Markets: 15 Countries, Three Main Risks”

  • Crédit Agricole and cohort of banks throw weight behind Saudi-Korea export financing

    Saudi Arabia’s ministry of finance has inked a US$3bn untied loan agreement with nearly a dozen international banks and the Republic of Korea’s official export credit agency (ECA). Korea Trade Insurance Corporation (K-Sure) will provide insurance cover for the total transaction, which aims to boost Korean exports to the Middle Eastern country.

  • Why Saudi banks are better positioned in 2021 compared to GCC peers

    Despite the challenging operating environment posed by COVID-19 and drastic fall in oil prices, 2020 was not such a bad year for the Saudi Banks, according to Bank of America Merrill Lynch (BoAML) analysts.

  • Optimistic outlook for Saudi banks in 2021: BofA

    The uncertainties in the economic outlook and concerns over liquidity, capital and asset quality pushed the Saudi banks to refrain from paying a dividend in 1H20. With many of these concerns now having eased, the banks having greater confidence in the economic outlook (particularly given the potential for a global recovery underpinned by the roll out of the vaccine) and strong capital positions, we believe the Saudi banks will announce healthy dividends in conjunction with FY20 earnings, with an average yield of c. 4%.

  • Top 10 Saudi banks show improvement in profitability

    The research, from global professional services firm Alvarez & Marsal (A&M), examined data from the 10 largest listed banks in the Kingdom and compared the third quarter of 2020 (Q3 2020) against the previous quarter (Q2 2020).

  • UAE, Saudi Arabian central banks release report on Project Aber CBDC trial

    Central banks from two of the most powerful economies in the Middle East released a report today on a yearlong joint central bank digital currency (CBDC) project — and results speak glowingly of blockchain technology. First announced in January of 2019, Project Aber was a joint effort between the United Arab Emirates and Saudi Arabia to establish a “proof of concept” designed to “contribute in the body of knowledge in CBDC and DLT technologies.”

  • Online mask ads mystery revealed as Saudi banks launch cybersecurity campaign

    Saudi cybersecurity specialist, Abdullah Al-Jaber, told Arab News that the initiative could not have come at a better time, and he was pleased to see so many big-name banks throwing their weight behind it. “It’s awesome that they tried to approach the public in a different way, rather than the usual text messages or emails that many people tend to ignore,” he said.

  • Saudi banks’ assets rise 14.1% in Q3

    Assets of Saudi banks listed on the Saudi Stock Exchange (Tadawul) grew by 14.1% on a year-on-year (YoY) basis in the third quarter (Q3) of 2020, equivalent to SAR 331.615 billion ($88.43 billion). Assets of 11 Tadawul-listed lenders stood at SAR 2.686 trillion ($716.23 billion) in Q3-20, compared with SAR 2.354 trillion ($627.79 billion) in Q3-19, according to data collected by Mubasher based on the banks’ earnings releases.

  • Saudi government signs supply chain finance agreements with three banks

    After oil prices crashed in 2014-205, the government of the world’s largest oil exporter reduced or suspended payments that it owed to construction firms, medical establishments and even some of the foreign consultants who helped to design its economic reforms. The finance ministry then pledged in late 2016 to accelerate the payment process within 60 days from receiving the invoice. Monday’s agreement will support government efforts to speed up the pace of payments and dues to private sector suppliers, Samba Financial Group said in a separate statement.