Macro Analysis /
Saudi Arabia

Saudi Central Bank Monthly Bulletin – April 2022

  • The Saudi Central Bank (SAMA) published its monthly bulletin for April 2022

  • Loan growth marginally slowed in April vs March, which we believe is due to the Ramadan effect

  • 3M SAIBOR increased to 3.11% as of 31 May 2022 vs 1.0% on 31 January 2022 and is the highest level since December 2008

SNB Capital
1 June 2022
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The Saudi Central Bank (SAMA) published its monthly bulletin for April 2022. Banks loan book grew by 1.0% mom (+14.6% yoy), taking ytd growth to 5.7%. The loan growth marginally slowed down in April vs March, which we believe is due to the Ramadan effect.

Moreover, liquidity levels remained tight in April (LDR 81.4%), which pushed SAIBOR to new high levels. The benchmark 3M SAIBOR increased to 3.11% as of 31 May 2022 vs 1.0% on 31 January 2022 and is the highest level since December 2008. We believe this will have an impact on the sector’s Q2 22 margins, particularly for banks that have relatively higher LDR.

From a macro perspective, total reserves remained flat mom (+2.5% yoy) at SAR1.69trn (US$451bn), while CPI inched up to 2.3% yoy vs 2.0% in March 2022 driven by higher food and transportation prices.

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