Saudi central bank provides $13.32bln lifeline to support liquidity

SAMA confirms good performance indicators in banking sector

  
A Saudi money changer displays Saudi Riyal banknotes at a currency exchange shop in Riyadh, Saudi Arabia July 27, 2017. Image for illustrative purpose.

A Saudi money changer displays Saudi Riyal banknotes at a currency exchange shop in Riyadh, Saudi Arabia July 27, 2017. Image for illustrative purpose.

REUTERS/Faisal Al Nasser

The Saudi central bank said it provided 50 billion riyals ($13.32 billion) to enhance liquidity in the banking sector liquidity, according to a statement on Monday.

The Saudi Arabian Monetary Agency (SAMA) said that the banking sector is still recording good performance indicators, which enhances its ability to face challenges and crises. The total assets of the sector at the end of the first quarter of this year compared to the same period of the previous year amounted to 2.7 trillion riyals, an increase of about 14 percent.

Moreover, credit facilities granted to the private sector grew by about 12 percent during the same period. Meanwhile, the average capital adequacy ratio (CAR) grew by 18.6 percent, the liquidity coverage ratio (LCR), 201 percent; and the ratio of net stable financing (NSFR), 126 percent.

According to SAMA, these indicators have positively reflected on the commercial banks which continue to play their pivotal role in the economic development in the kingdom.

(Writing by Seban Scaria, editing by Daniel Luiz)

(seban.scaria@refinitiv.com)

#SAMA #Saudi #Banking #Finance #Liquidity

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