RIYADH, Oct 20 (Arab News): Saudi bank loans reached SR2.82 trillion ($753.27 billion) in August, representing an annual growth rate of 12.11 percent - the highest in 18 months, according to recent data.
Figures from the Saudi Central Bank, also known as SAMA, showed that corporate lending dominated the sector, making up around 54 percent, with individual loans comprising the remaining figure.
The former category grew by 16 percent, outpacing the 7.56 percent growth in personal loans, underscoring the increasing demand for business financing across key sectors.
Real estate activities led corporate lending, accounting for 20.1 percent of all business loans and growing by 26.37 percent to reach SR303.48 billion.
The wholesale and retail trade sector followed, constituting 13.3 percent of these loans, with SR201.3 billion in financing. Lending to manufacturing came third, making up 11.8 percent, totaling SR179.1 billion.
Loans to the electricity, gas, and water supply sectors accounted for 11.1 percent of total lending, amounting to SR167.66 billion. This category experienced a growth rate of 26.2 percent, nearly matching that of the real estate sector.
While professional, scientific, and technical activities represented a small portion of total corporate loans at just 0.6 percent, they posted the highest annual growth rate of 58.83 percent, amounting to SR8.45 billion.
Corporate lending in Saudi Arabia, particularly in the real estate sector, has seen significant growth, driven by the Kingdom's focus on large-scale projects aligned with Vision 2030.
