Moody’s outlook for Saudi Arabian banks held at ‘stable’ | The National

Moody’s outlook for Saudi Arabian banks held at ‘stable’ | The National:

"Moody’s on Monday maintained its “stable” outlook for Saudi Arabian banks despite oil prices declining by more than half in the past 18 months.

That is because the rating agency is forecasting that government spending will help to mitigate the declining price of oil. And while non-performing loans at banks in the kingdom, the world’s biggest oil exporter, may increase, overall Moody’s is forecasting that the banks will continue to generate strong profits.

“The stable outlook reflects our expectation that the banks will remain resilient over the next 12 to 18 months, despite the economic slowdown driven by low oil prices,” analysts led by Olivier Panis, senior credit officer at Moody’s in Dubai, wrote."



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