Revealed: Top 10 banks in Saudi Arabia

Reflecting the lagged effect of the lower oil prices in 2015, which was maintained in 2016, economic growth across the GCC region weakened as governments’ revenues fell last year.

In Saudi Arabia, the period of low oil prices has impacted the economy and the banking system. Capital spending and infrastructure projects, and the development of SME and manufacturing sectors, has helped the economy, but there has been a big slowdown in growth and demand, meaning most banks in the kingdom saw weak loan growth in 2016 with some loan portfolios falling.

The country’s banking sector posted a decline in net profit of 5.3 per cent in 2016, according to Gulf Business‘ annual Top 50 banks in the GCC report.

Despite the fall, the kingdom saw the highest return across the GCC region last year, with the banking sector recording a return on assets of 1.9 per cent, compared to 2 per cent in 2015.

The largest domestic banking sector in the GCC also remains Saudi Arabia, with a 30.7 per cent share of the total.

Looking ahead, in 2017, most GCC banks are mainly focusing on organic growth, and are increasing their efforts in private banking and facilities for high net worth individuals, the report found.

TOP 10 BANKS IN SAUDI ARABIA
(Based on total assets of listed banks at the end of 2016)

1. National Commercial Bank

Assets in 2016 ($000): 117,731,019
Assets in 2015 ($000): 119,824,114
Growth (2015-2016): -1.75%
2016 net profit ($000): 2,510,889
Return on assets (ROA) in 2016: 2.13%

2. Al Rajhi Banking Corporation

Assets in 2016 ($000): 90,589,818
Assets in 2015 ($000): 84,165,239
Growth (2015-2016): 7.63%
2016 net profit ($000): 2,166,923
Return on assets (ROA) in 2016: 2.39%

3. Samba

Assets in 2016 ($000): 61,730,290
Assets in 2015 ($000): 62,731,381
Growth (2015-2016): -1.60%
2016 net profit ($000): 1,334,843
Return on assets (ROA) in 2016: 2.16%

4. Riyad Bank

Assets in 2016 ($000): 58,031,734
Assets in 2015 ($000): 59,550,900
Growth (2015-2016): -2.55%
2016 net profit ($000): 891,330
Return on assets (ROA) in 2016: 1.54%

5. Banque Saudi Fransi

Assets in 2016 ($000): 54,247,656
Assets in 2015 ($000): 48,993,142
Growth (2015-2016): 10.72%
2016 net profit ($000): 936,062
Return on assets (ROA) in 2016: 1.73%

6. Saudi British Bank

Assets in 2016 ($000): 49,614,905
Assets in 2015 ($000): 50,066,779
Growth (2015-2016): -0.90%
2016 net profit ($000): 1,038,595
Return on assets (ROA) in 2016: 2.09%

7. Arab National Bank

Assets in 2016 ($000): 45,335,659
Assets in 2015 ($000): 45,445,673
Growth (2015-2016): -0.24%
2016 net profit ($000): 763,167
Return on assets (ROA) in 2016: 1.68%

8. Alawwal Bank

Assets in 2016 ($000): 28,018,800
Assets in 2015 ($000): 28,818,756
Growth (2015-2016): -2.78%
2016 net profit ($000): 283,927
Return on assets (ROA) in 2016: 1.01%

9. Alinma Bank

Assets in 2016 ($000): 27,927,963
Assets in 2015 ($000): 23,659,875
Growth (2015-2016): 18.04%
2016 net profit ($000): 400,606
Return on assets (ROA) in 2016: 1.43%

10. Saudi Investment Bank

Assets in 2016 ($000): 25,163,066
Assets in 2015 ($000): 24,968,992
Growth (2015-2016): 0.78%
2016 net profit ($000): 280,789
Return on assets (ROA) in 2016: 1.12%

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