Finance

The Gulf Cooperation Council Interconnection Authority (GCCIA) has recently been awarded an A+/Stable credit rating by the prestigious Fitch Ratings. This recognition is anticipated to bring a host of benefits to the GCCIA, including better financing options, increased investor trust, lower interest rates on loans, and a stronger international presence. Eng. Ahmed Al-Ebrahim, the CEO of GCCIA, conveyed his contentment...

The Saudi Central Bank, known as SAMA, has witnessed a robust annual increase in its reserve assets, rising by 5.5% or approximately SAR 92,049 billion. By the conclusion of the second quarter of 2024, these reserves have impressively swollen to a total of SAR 1.754 trillion, up from SAR 1.662 trillion during the same timeframe in the previous year.Peak Performance...

The insurance industry in Saudi Arabia has experienced a remarkable 25 percent surge in profits during the first half of 2024, with earnings reaching SR2.2 billion ($585 million) in comparison to the previous year's figures.According to data sourced from financial markets, Bupa Arabia has taken the lead in the sector, garnering 35 percent of the total net income for the...

The Kingdom of Saudi Arabia has markedly increased its investments in US Treasury securities, with an infusion of $4 billion by June's end, elevating its reserves to the highest since the onset of the 2020 pandemic.Records from the Treasury Department reveal that the total value of Saudi holdings reached slightly above $140 billion at the halfway point of the year....

The International Islamic Trade Finance Corporation (ITFC), part of the Islamic Development Bank Group, has inked a financing deal worth $100 million with the Turkish Development and Investment Bank. This substantial financial injection is aimed at propelling Türkiye's agricultural and food sectors forward, with a keen focus on bolstering food security, renewable energy initiatives, and vital infrastructure. ITFC's CEO, Hani...

On a day of varied fortunes, the Saudi Arabian stock exchange, known as the Tadawul All Share Index, reported a modest increase, climbing by 33.73 points, which is a 0.29 percent rise, to finalize at 11,730.77. The benchmark index's trading volume reached SR7.09 billion (approximately $1.89 billion), with 169 stocks observing upward movement and 54 experiencing a decline. In a...

The city of Zurich recently became the focal point for strengthening economic and financial relations between Saudi Arabia and Switzerland during the fourth edition of the Saudi-Swiss Financial Dialogue. Spearheading the Saudi delegation was the Kingdom's Finance Minister, Mohammed Al-Jadaan, accompanied by key representatives from the Saudi Central Bank, the Insurance Authority, the Financial Sector Development Program, and Fintech Saudi.At...

Experts at a recent industry forum have identified significant hurdles that Saudi Arabia must overcome to expand its securities borrowing and lending (SBL) activities. The discussions took place at the International Securities Lending Association (ISLA) conference, which highlighted the organization's growing involvement in the Middle East, including the establishment of major milestones and strategic phases. The ISLA's engagement with the...

The 4th Saudi-Swiss Financial Dialogue, a pivotal meeting aimed at bolstering economic and financial collaboration between the two nations, was recently convened in Zurich. The Saudi delegation was spearheaded by Finance Minister Mohammed Aljadaan and included high-ranking officials from key financial institutions such as the Saudi Central Bank and the Insurance Authority, as well as representatives from the Financial Sector...

Saudi Arabia's Ascension in Global Debt Issuance signals a pivotal shift in economic strategies, as the kingdom's market size is notably smaller compared to China's, being approximately just 6.25% of the Asian giant's economy. The kingdom is ambitiously redefining its business landscape with the aim of becoming a formidable global commercial hub by the year 2030.Recent figures have highlighted a...

In a significant shift within the emerging markets, Saudi Arabia has overtaken China as the leading issuer of international debt, a position held by Beijing for more than a decade. This change underscores a dynamic shift in global borrowing practices and points towards the kingdom's aggressive funding strategy for its ambitious Vision 2030 plan.Recent figures show that Saudi Arabia has...

China has further integrated into the global capital market by launching Asia’s inaugural exchange-traded fund (ETF) that is designed to mirror the performance of Saudi Arabia’s major corporations, marking a significant step in the burgeoning financial relations between the two nations.Approval has been granted by the China Securities Regulatory Commission for the listing of two feeder funds on the Chinese...

The Saudi finance and real estate refinance sectors have demonstrated robust growth in 2023, according to a comprehensive performance analysis by the Kingdom's monetary authority.Over the course of the year, the finance companies sector experienced a 6 percent rise in paid-up share capital, achieving a total of SAR15.5 billion (approximately $4.13 billion).Moreover, the sector's total assets have witnessed a significant...

Throughout the current year, GCC nations have collectively issued approximately $45 billion in bonds and sukuk. This impressive figure indicates that they are on course to surpass the record levels of debt issuance last seen in 2020. In just the first half of 2024 alone, the amount raised considerably exceeded the entire previous year's total of $33 billion.Despite oil prices...

The financial landscape in Saudi Arabia has experienced significant growth, with finance companies reporting a 13 percent increase in total assets, reaching SR64.2 billion ($17.12 billion) in 2023. This upswing was unveiled by the latest figures from the nation's central bank.These firms have not only seen their assets grow; their paid-up share capital also climbed by 6 percent from the...

Riyadh — In a recent overview released by the Saudi Central Bank (SAMA), the finance and real estate refinance companies within the Kingdom have shown impressive growth figures for the year 2023. This comprehensive report details the sector's financial metrics and notable developments over the past year.According to the report, the finance companies sector experienced an uplift, with its paid-up...

The hegemony of the US dollar is seemingly waning as key global oil traders, including Russia and Saudi Arabia, are considering the Chinese yuan as a potential currency for oil transactions. This emerging trend prompts investors to reconsider their future financial plans, as highlighted by the CEO and founder of a premier financial advisory and asset management firm.The leader of...

Market Momentum Surges in Saudi ArabiaThe stock market in Saudi Arabia experienced a sharp increase, marking a 2.6% rise – its most significant upswing in almost a year, propelled by robust growth across a spectrum of sectors.Unpacking the Market RallyThis market uptrend in Saudi Arabia signals a growing assurance in diverse industry sectors. Leading the charge, Al Rajhi Bank, renowned...

Following a secondary share offering anticipated to amass roughly $11.2 billion, shares of Saudi Aramco experienced a 1.06 percent increase on June 9, concluding the day at SR28.60 ($7.63) after an initial opening at SR27.95. This development occurred on the inaugural trading day subsequent to the new issue of shares. The secondary share sale was finalized at SR27.25 per share,...

LONDON — Saudi Arabia is on the brink of amassing upwards of $11.2 billion by offloading Aramco shares to finance the kingdom's expenditure initiatives. This influx of capital comes despite the state-owned oil behemoth setting the stock price at the lower spectrum of the anticipated range, as announced by the company on Friday.The share pricing was the outcome of an...

The Kingdom of Saudi Arabia is set to bolster its economic plans by garnering in excess of $11.2 billion through the sale of additional shares in its oil colossus, Aramco. Announced on a recent Friday, this move is aimed at injecting capital into the country's expansive spending initiatives.Offered at $7.27 per share, the pricing aligns with the anticipated range's lower...

Saudi Aramco, the titan of the oil industry, has announced the closing price for its secondary share sale at 27.25 Saudi riyals per share, which is on the modest side of the anticipated range, enabling the company to accumulate $11.2 billion in capital.The share offering, which encompasses over 1.54 billion shares or roughly 0.64% of Aramco's total issued shares, was...

In a significant move within the business media sector, Saudi Arabia is on track to accumulate in excess of $11.2 billion through the secondary offering of shares in the state-owned petroleum titan, Aramco. The shares have been priced at the lower spectrum, at 27.25 riyals ($7.27) per share, according to sources acquainted with the situation. At present, Aramco has withheld...

The Capital Market Authority (CMA) has reached out to stakeholders involved in the capital market to review and comment on the proposed changes to the Implementing Regulation of the Companies Law for Listed Joint Stock Companies (the Draft). Interested parties are invited to participate in a public consultation period that lasts for 30 days, concluding on July 6, 2024.The initiative...

The Saudi Arabian sukuk and debt capital market has seen a substantial increase in size since 2019, now exceeding SR30 billion ($7.9 billion), as per the Capital Market Authority of the Kingdom. The market's annual growth rate has been recorded at 7.9 percent, with an even higher rate of 9.6 percent for unlisted issuances. From SR72 billion in 2019, the...

On a significant development in the digital currency realm, Saudi Arabia has embarked on a groundbreaking venture by aligning with a predominantly China-led central bank digital currency (CBDC) endeavor that aims to transform the way oil trades are conducted, potentially diminishing the reliance on U.S. dollars.The Bank for International Settlements (BIS) recently heralded Saudi Arabia's central bank as a complete...

The Saudi Central Bank (SAMA) has recently announced its active participation in the mBridge project, an initiative steered by the Bank for International Settlements (BIS), which is poised to revolutionize the infrastructure of cross-border payments. This collaboration involves various international financial organizations and central banks working together to enhance global payment systems.At the core of this initiative is the Minimum...

In a strategic move that could yield approximately $10 billion, Saudi Arabia is poised to conduct a substantial share sale of its state-owned oil colossus, Aramco. Anticipated to occur by June, this event is expected to be one of the largest stock transactions in the Middle East in recent memory.The process will see a fully marketed offering taking place on...

The Saudi Central Bank (SAMA) has made a public announcement inviting comments on the newly drafted 'Internal Audit Principles' and 'Compliance Principles' intended for Finance Companies. This initiative is part of the bank's effort to involve stakeholders and the broader public in the regulatory process through the Public Consultation Platform known as 'Istitlaa'.The bank has shaped these principles with the...

The Saudi Central Bank, also known as SAMA, has released a statement announcing its search for public input on two draft documents aimed at enhancing the finance sector's regulatory standards. The drafts in question, titled 'Internal Audit Principles' and 'Compliance Principles', are being made available on the 'Istitlaa' Public Consultation Platform for review by interested parties.These proposed principles have been...