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 increase of 13 percent, reaching SAR64.2 billion ($17.1 billion), while the total finance portfolio saw a 12 percent expansion to SAR84.7 billion ($22.58 billion).
The net income for finance companies has been reported at SAR1.7 billion ($453.28 million). In a parallel upward trend, the real estate refinancing sector’s total assets soared by 48 percent, culminating at SAR31 billion ($8.26 billion).
Analyzing the composition of the loan portfolio, the retail sector emerged as the predominant recipient, claiming 77 percent of the total. This was followed by the Micro, Small and Medium Enterprise (MSME) sector with a 20 percent stake, and the corporate sector trailing at 3 percent.
Employment statistics reveal that the number of individuals engaged in finance companies has exceeded 6,000 by the end of 2023. Notably, Saudis constitute a substantial 86 percent of this workforce.