Recording its highest levels ever.. “SAMA”: Banks’ demands on the public sector rise to 760 billion riyals

Data from the Saudi Central Bank for the month of October 2024 revealed that banks’ demands on the public sector, government and semi-government, rose to about 760 billion riyals by the end of last October, an increase of 11.9 billion riyals over its levels in the previous month (September 2024), which were 748.1 billion riyals, recording its highest levels ever.

According to the October statistical bulletin, government bonds (including internationally issued government bonds and sukuk that banks purchase from the secondary market), in which Saudi banks invested, rose to 580.2 billion riyals by the end of last October, with a value of 5506 million riyals, compared to 574.7 billion riyals by the end of September 2024.

On the other hand, bank credit to public institutions rose to 179.8 billion riyals by the end of October 2024, with a value of 6408 million riyals, compared to its levels in September, which were 173.4 billion riyals.

Banks’ liabilities to the public sector consist of government bonds in addition to bank credit to public institutions, which in turn include loans, advances and overdrafts.