Saudi Arabia - 11.3% growth in banking sector profits in 2018
Saturday, 06 22 2019, Category: Banking, Country: Saudi Arabia
Saudi Arabia's banking sector saw positive results in 2018, with an average 11.3 percent growth in net profit, and 2.1 percent growth in total assets, according to a new report released by professional services firm KPMG.
The recently released “GCC listed banks’ results” report analyzes the published results of listed commercial banks across the region for the year ended 31 December 2018.
Speaking about the report, Muhammad Tariq, head of Financial Services at KPMG Al Fozan & Partners, Saudi Arabia, commented: “Overall 2018 was a positive year for listed banks in Saudi Arabia. Average net profitability improved, underpinned by higher average SAIBOR rates, modest growth in assets and a slight decrease in costs."
“Credit quality remains an area of focus. Loan impairment charges increased by 14.8 percent from the prior year, which in part reflects new expected credit loss (ECL) methodologies in accordance with IFRS 9,” he added.