Finance

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...

Fitch Ratings has elevated the credit status of Saudi Electricity Co. by upgrading its issuer default ratings to 'A+' from 'A', highlighting the strong support from the Saudi government.Simultaneously, the company's national long-term rating has been advanced to 'AAA', up from 'AA', paired with a stable outlook. This upgrade is attributed to the organization's robust standing within the electricity sector...

The financial sector in Saudi Arabia has undergone a significant transformation with the adoption of open banking, revolutionizing the way banks and fintech companies interact and operate within the region.Abdulla Al-Moayed, the CEO of a leading fintech company, has lauded the Saudi Central Bank (SAMA) for its pivotal role in introducing a progressive regulatory framework that has reshaped the financial...

The embrace of open banking by Saudi Arabia has significantly reshaped the financial sector landscape in the region, according to a prominent fintech CEO.In recent discussions, Abdulla Al-Moayed, the CEO of Tarabut, commended the Saudi central bank for its pivotal role in fostering inclusive financial regulations. In May 2022, the Saudi Arabian Monetary Authority (SAMA) initiated its open banking program,...

Saudi Arabia's finance chief, Mohammed Al-Jadaan, engaged in a high-level discussion with his French counterpart, Bruno Le Maire, on the sidelines of the Group of Seven (G7) summit in Italy. The focus of their conversation was the prevailing global economic climate along with other matters of mutual interest.Simultaneously, in Riyadh, Abdulmuhsen Al-Khalaf, the Vice Minister of Finance for Saudi Arabia,...

The Saudi Tadawul All Share Index witnessed a downturn at the start of the week, with a 0.60 percent drop, concluding the day at 12,125.36 points. The trading volume for the benchmark index reached SR6 billion, with 68 stocks experiencing gains as opposed to 155 that saw declines.In a similar vein, the Kingdom's secondary market, Nomu, also experienced a marginal...

The Saudi Zakat, Tax, and Customs Authority (ZATCA) has issued an important reminder for businesses whose annual turnover of goods and services exceeds SAR 40 million. These companies are obligated to file their Value-Added Tax (VAT) statements for the month of April by the fast-approaching deadline of May 31st.Establishments are encouraged to act swiftly and submit their tax statements to...

Saudi Awwal Bank has secured the prestigious 'Best Bank Award 2024 in Saudi Arabia' from Global Finance for an impressive fifth consecutive year. The accolade is a nod to the bank's commitment to innovative services and its dedication to elevating customer banking experiences.A panel of esteemed financial specialists, taking into account factors such as growth in assets, profitability, customer service...

In a landmark move set to fortify financial ties, Japan and Saudi Arabia are on the verge of finalizing an agreement to list an exchange-traded fund (ETF) that will track Saudi stocks on the Tokyo exchange. This pioneering ETF is anticipated to make its debut concurrent with the state visit of Saudi Arabia's Crown Prince Mohammed bin Salman to Japan.The...

Saudi Awwal Bank's First Quarter of 2024 Exhibits Notable GainsRevenue: SAR 3.45 billion (a 15% increase from Q1 2023).Net income: SAR 2.04 billion (a 16% rise from Q1 2023).Profit margin: Stands at 59%, consistent with Q1 2023.EPS: SAR 0.96, an improvement from SAR 0.86 in Q1 2023.All data represented in the chart pertains to the trailing 12-month period.Financial Performance Surpasses...

In a move to bolster financial collaboration, Hong Kong and Saudi Arabia are advancing plans to create investment products that enable capital flow between their respective markets. This initiative was highlighted at the Saudi Tadawul Group's inaugural Capital Markets Forum held in Hong Kong.A key development is the introduction of an exchange-traded fund (ETF) that mirrors the Hong Kong benchmark...

The Saudi Electricity Company (SEC) has achieved a financial milestone by securing a substantial Islamic credit facility amounting to $1 billion from the Saudi National Bank, which is recognized as the largest bank in terms of assets within the Kingdom. This financial arrangement, structured as a bilateral Murabaha loan and finalized on May 7, 2024, is set to bolster the...

Saudi Arabian banks have observed a significant rise in lending, with total loans reaching SR2.67 trillion (approximately $711.5 billion) in March, reflecting an 11 percent year-on-year growth, based on the latest figures from the nation's central bank.Analysis of the data disclosed by the Saudi Central Bank (SAMA) indicates that 35 percent of the loan expansion was driven by personal borrowing,...

Saudi Arabian equity markets concluded the trading session lower on Tuesday, with significant declines in various sectors dragging down the shares.By the session's end in Saudi Arabia, the benchmark index had retreated by 0.12%.Leading the session's gainers on the index were Batic Investments and Logistics Co, which ascended by 6.36% or 0.21 points, concluding the trade at 3.51. In tandem,...

Abyan Capital, a trailblazing robo-advisory enterprise based in Saudi Arabia, has successfully completed a Series A financing round, amassing $18 million. The investment round saw significant contribution from STV, with additional backing from Wa’ed Ventures and RZM Investment.Established in 2022, Abyan Capital has been instrumental in transforming the financial advisory domain within Saudi Arabia by providing automated, accessible, and Shariah-compliant...

The financial technology landscape in Saudi Arabia is approaching a pivotal milestone, aiming to establish itself as a dominant financial hub in the region. A recent study by a renowned management consultancy firm highlights the country's rapid progress in the fintech sector, driven by key initiatives like Fintech Saudi.Initiated by the Saudi Central Bank and the Saudi Capital Markets Authority...

Saudi Arabian officials have made a plea to the International Monetary Fund (IMF) to concentrate on its primary responsibilities, highlighting the significance of supporting initiatives aimed at reconstructing safeguards and reassessing debt and lending policies.Speaking at the International Monetary and Financial Committee Plenary session during the Spring Meetings of the World Bank Group and IMF 2024, Saudi Central Bank governor...

Saudi Arabia's Finance Minister, Mohammed Aljadaan, recently joined forces with IMF Managing Director Kristalina Georgieva to deliberate on international monetary challenges and the proactive strategies discussed during the IMFC meetings. Aljadaan lauded the commendable work of his forerunner, Nadia Calvino, and emphasized the imperative for stronger global collaboration to fortify the world's economic frameworks and monetary systems. The Minister highlighted...

The Kingdom of Saudi Arabia's delegation recently wrapped up its active engagement in the prominent 2024 International Monetary Fund (IMF) and World Bank Group (WBG) Spring Meetings in Washington, D.C., which took place from April 15 to April 20. The team was spearheaded by the esteemed Minister of Finance, Mohammed Al-Jadaan. On the first day, Al-Jadaan was a key participant...

The stock market in Saudi Arabia experienced a decline at the close of Tuesday's trading session, with notable dips occurring in several major sectors.As trading concluded, the Saudi stock benchmark index suffered a loss of 1.64%.Among the top performers was Red Sea Housing Services Company, which saw its shares jump 10.00% or 3.00 points, finishing at 33.00. Also making gains,...

Saudi Arabia's Finance Minister, Mohammed Al-Jadaan, is poised to lead the country's delegation at the crucial gatherings of the International Monetary Fund (IMF) and the World Bank Group in Washington, D.C. this week. The agenda is set to focus on the dynamic landscape of global economic developments.Al-Jadaan will preside over the inaugural session of the International Monetary and Financial Committee...

Saudi Arabia's Finance Minister, Mohammed Aljadaan, is set to lead the Kingdom's delegation to the upcoming International Monetary Fund and World Bank Group Spring Meetings scheduled to take place in Washington D.C., USA, from April 15 to 20, 2024. The delegation's composition is a constellation of key financial figures, including Central Bank Governor Ayman Alsayari, and heads of various financial...

The foreign assets held by commercial banks in Saudi Arabia have experienced a remarkable 22 percent increase as of February, amassing a sum of SR347.63 billion ($92.7 billion). This growth, compared to the same timeframe last year, signifies a substantial escalation in the banks' international investments and holdings.Simultaneously, Saudi banks' foreign liabilities have also risen sharply by 38 percent, reaching...

February records reflected a substantial 10.26 percent year-on-year increase in Saudi banks' total deposits, hitting the SR2.54 trillion ($677 billion) mark, according to the latest official figures. An analysis of the data released by the Saudi Central Bank highlighted a significant 26 percent annual surge in time and savings deposits, which amounted to SR838.53 billion.Demand reserves experienced a 2.85 percent...

Riyad Bank is reportedly deliberating the possibility of offering public shares for its investment banking division, aiming to harness the robust investor enthusiasm within Saudi Arabia's buoyant equity market. The institution, which ranks as the third largest bank in the kingdom, has initiated a comprehensive evaluation and groundwork for a prospective initial public offering (IPO) of Riyad Capital, as disclosed...

The Zakat, Tax, and Customs Authority (ZATCA) has issued a reminder to all businesses that fall under the withholding tax (WHT) category in Saudi Arabia, emphasizing the importance of filing their tax statements for the month of March by the upcoming deadline of April 10th.Entities are advised to prioritize the submission of their tax statements via ZATCA's official online portal...