A&M’s Q2 2020 Saudi Arabia banking pulse suggests subdued profitability outlook

SourceSaudi Gazette
SectorFinancial Services
CountrySaudi Arabia

RIYADH — Leading global professional services firm Alvarez & Marsal (A&M) has released its latest Saudi Arabia Banking Pulse for Q2 2020. The report suggests that the profitability outlook for banks remains subdued, as a result of the twin effects of low oil prices and COVID-19 lockdowns, which might impact credit demand and asset quality. Saudi Arabia’s top ten banks reported a marginal increase in deposits compared to the preceding quarter, which improved the banks’ funding position. In Q2, the loan to deposit ratio (LDR) increased slightly to 86.1%.Saudi banks continued to improve their ...read more...