Alvarez & Marsal Middle East Limited (A&M) is delighted to publish the first edition of the Kingdom of Saudi Arabia (KSA) Banking Pulse (“The Pulse”). In this planned quarterly series, we share results from our research examining the top ten largest listed KSA banks by assets, and highlight key performance indicators of the KSA banking industry. The Pulse aims to help banking executives and board members stay current on industry trends.
All the data used in this report has been obtained from publicly available sources and the methodology for the calculations is discussed in the glossary. Calculation of several metrics will be subject to change based on available information.
Due to the COVID-19 pandemic, the industry will be significantly impacted with respect to challenging macroeconomic conditions and lower interest rates. And this is already evident in QoQ performance for Q1’20. While the KSA government and the central bank have introduced a series of support measures for the economy and the banking industry, the government has also announced plans that could rationalize public finances.
The performance in Q1’20 may not be entirely comparable with that of the previous quarters, but the COVID-19 related impact on the industry is expected to continue for FY2020.