Deposits, Loans Raise Saudi Banks’ Profits in 3rd Quarter

Deposits, Loans Raise Saudi Banks’ Profits in 3rd Quarter

Saudi banks achieved SAR 18 billion ($4.8 billion) in profits at the end of the third quarter of 2023 - the highest quarterly profits in their history - due to the rise in interest rates and the increase in the volume of deposits and the diversification of the products they offer to their customers.

The profitability of Saudi banks increased by SAR 1.5 billion over the same quarter in 2022, maintaining profit growth for the third quarter in a row, according to the financial results announced on the Saudi Stock Exchange (Tadawul).

The net profits of the 10 banks listed on the Saudi stock market during the third quarter of 2023 amounted to about SAR 18.08 billion, compared to SAR 16.61 billion the same quarter in 2022.

In remarks to Asharq Al-Awsat, Dr. Mohammed Makni, General Manager of Ithmar Development Company and Assistant Professor of Finance and Investment at Imam Mohammad bin Saud University in Saudi Arabia, said the banking sector was a key component in the Saudi national economy and a partner in achieving the Saudi Vision 2030 programs.

Makni pointed to the high confidence in Saudi banks, adding that the growth in the volume of deposits has helped banks increase their profitability