Saudi banking sector's assets to reach $1.2tn by 2030

RIYADH: Saudi Arabia's financial sector aims to increase the total assets of the banking sector to over SR4.5 trillion ($1.2 trillion) by 2030, the Kingdom's Minister of Finance said.
During his speech on the occasion of the 92nd National Day, Mohammed bin Abdullah Al-Jadaan added that the total banking assets amounted to SR3.5 trillion by the end of the second quarter of 2022, according to Asharq Alawsat.
He noted that the growing strength of the Saudi economy reflects the solidness of financial policies, and its ability to adapt in the face of challenges.
He praised the results achieved by the Financial Sector Development Programme, the Financial Sustainability Programme and the National Centre for Privatization Programme.
The Financial Sector Development Programme has increased the number of bodies that are effective in financial technology to over 120 companies until September 2022, he explained.
With regards to the Financial Sustainability Programme, the minister noted that it contributed to carrying out many structural reforms.
This is in addition to contributing to raising growth and employment rates, and maintaining financial sustainability, through which financial and economic stability would be achieved, he added.
Speaking of the privatization programme, Al-Jadaan explained it contributed to strengthening the partnership between the public and private sectors.
He added that the National Centre for Privatization Programme has contributed to setting the general frameworks for the privatization system.
In August, Saudi Arabia's banking sector showed its continuation to outperform its regional counterparts in 2021, with assets growing by a record 10 per cent to SR3.3 trillion, according to a report by The Banker.
The Banker's Top 100 Arab Banks ranking showed that Saudi lenders' combined Tier 1 capital base is higher than any other country in the region.
The ranking was issued for the year 2022 and data used for the listing pertained to 2021.
While higher oil prices helped economic growth in the Kingdom recover to 3.1 per cent in 2021, up from a 4.1 per cent contraction the previous year, it is the country's booming mortgage market - fueled by government initiatives to help Saudi nationals acquire a property - that continues to boost banks' balance sheets.