Risks to Saudi Arabia’s banking sector to remain 'contained' as economy recovers
Risks to the stability of Saudi Arabia’s banking system are expected to remain “contained” despite the rapid expansion of the sector over the next two years, a report from S&P Global Ratings suggests.
It comes as the Arab world's largest economy continues to recover from the coronavirus pandemic on the back of higher oil prices and reforms, S&P said.
Domestic credit growth will “stay strong” in 2022-2023 after the sharp 15 per cent surge last year as the government focuses on meeting its targets as part of the vision 2030 strategy and Saudi Arabians seek loans for housing, the ratings agency said on Sunday.
The kingdom is diversifying its economy away from oil as part of the Vision 2030 agenda and is developing projects across sectors including property, petrochemicals, transport and hospitality to attract investment and boost employment.
No comments:
Post a Comment