The Saudi Central Bank (SAMA) issued its Financial Stability Report 2024, highlighting national and global trends and significant developments in the Saudi financial system.

The report affirmed that the Saudi economy proved resilient in 2023, supported by a robust financial sector, despite global economic uncertainties. It also highlighted the Kingdom's significant progress toward achieving the ambitious objectives of Vision 2030, which aims to diversify the economy. These efforts increased the share of non-oil activities in overall GDP to 49.9%, growing by 4.4 % in 2023.

In 2023, the Saudi banking sector remained well-capitalized, with a capital adequacy ratio of 20.1 %. Banks maintain a sufficient lending capacity to support the Kingdom's economic development, as banking credit continued to grow in 2023, driven primarily by corporate credit, which increased by 13.2%.

Furthermore, the non-banking financial institutions performed strongly in 2023 as lending by finance companies increased by 12.3 % to reach SAR 84.7 billion in 2023, supporting the notable growth in total assets.

The report also covered SAMA's efforts in enabling innovative payment solutions while ensuring a secure environment to mitigate the associated risks. The Financial Stability Report 2024 is available on SAMA's website (Link).