Banking
From The Report: Saudi Arabia 2025
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The Saudi banking sector sits at the core of Vision 2030. Saudi banks are playing a growing role in supplying credit for headline-grabbing giga-projects while also rapidly expanding support for small and medium-sized enterprises, which are important vehicles for Saudi Arabia’s economic diversification and bring more women into the labour market. Thanks to well-organised roadmaps, most notably the Financial Sector Development Programme, governmental entities and private commercial banks have managed to successfully execute several economic and political priorities – asset growth is stable and positive, Saudiisation rates are above the private sector average and private sector lending is now the main driver for banking sector growth. The outlook of the sector is positive. Foreign interest in the Kingdom remains high, with more funding becoming available for sectors such as energy and tourism where the return on investment is certain in both the short and medium-terms.

This chapter contains interviews with Ayman Al Sayari, Governor, Saudi Central Bank; Mana bin Mohamed Al Khamsan, CEO, The Financial Academy; Ibrahim bin Hamad Al Rashid, CEO, SME Bank; and Tony Cripps, CEO and Managing Director, SAB.

Articles from this Chapter

Overview

Financial backbone: Vision 2030 priorities and regulatory reform drive steady expansion for the Kingdom’s lenders
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The banking sector sits at the core of Vision 2030. Saudi banks are playing a growing role in supplying credit for giga-projects while also rapidly expanding their support for small and medium-sized enterprises (SMEs), which are important vehicles for Saudi Arabia’s economic diversification and bring more women into the labour market. Thanks to well-organised roadmaps, most notably the Financial Sector Development Programme (FSDP), governmental entities and private commercial banks have managed to successfully execute several economic and social priorities – asset growth is stable and positive, Saudiisation rates are above the private sector…

Analysis

Structural progress: Vision 2030 reforms and financing for small businesses support inclusive economic participation in the Kingdom
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A major target of the Financial Sector Development Programme (FSDP) has been improving financial inclusion in Saudi Arabia, especially for women. Since the World Bank began recording data in 2011, men have consistently been above the global average when it comes to bank account ownership, with 73% of Saudi men having accounts in 2011 compared to the global average of 55%. By 2024 this gap had narrowed, with 82% of Saudi men having bank accounts compared to 80% globally. The most impressive growth has been among women: in 2011 only 15.2% had their own bank account, compared to 46.6% of women globally; by 2024 this gap almost closed, with 73.5%…

Interview

Diversification efforts: Ayman Al Sayari, Governor, Saudi Central Bank, on digitalisation trends and the changing regulatory environment
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Interview: Ayman Al Sayari, Governor, Saudi Central Bank, on digitalisation trends and the changing regulatory environment In what ways is the banking sector being guided to support economic diversification objectives? AYMAN AL SAYARI: Economic transformation has expanded the role of the banking sector beyond traditional oil-linked activity. Credit demand has grown across non-oil segments, including industrials, renewable energy, digital economy activities and related services. Banks have also…

Interview

Finance futures: Mana bin Mohamed Al Khamsan, CEO, The Financial Academy, on workforce upskilling, global standards and ethical growth
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Interview: Mana bin Mohamed Al Khamsan, CEO, The Financial Academy, on workforce upskilling, global standards and ethical growth How is the role of financial professional training evolving, particularly in the context of Vision 2030 and the Financial Sector Development Programme? MANA BIN MOHAMED AL KHAMSAN: As the financial industry evolves, professionals must continuously upskill and reskill to keep pace with emerging trends, regulatory changes and the increasing role of technology. There is…

Analysis

Open to change: New technologies transform the provision of financial services
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Open banking has rapidly emerged as a transformative force in global finance, redefining traditional banking models by enabling secure, application programming interface (API)-driven data sharing and third party service integration. Valued at approximately $25.1bn in 2023 and poised to surge to $29.6bn by 2025 – ultimately eclipsing $306.6bn by 2035 – the global market’s projected compound annual growth rate (CAGR) of 26.3% through 2035 underscores its potential to reshape financial services worldwide. Within the GCC, a concerted drive towards digital transformation, economic diversification and enhanced financial inclusion has rendered…

Interview

Credit evolution: Ibrahim bin Hamad Al Rashid, CEO, SME Bank, on small business growth, mergers, risk management and digital finance
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Interview: Ibrahim bin Hamad Al Rashid, CEO, SME Bank, on small business growth, mergers, risk management and digital finance What does the Open Banking framework offer small and medium-sized enterprises (SMEs)? IBRAHIM BIN HAMAD AL RASHID: Open Banking offers SMEs a significant step forwards in transparency, access and informed decision-making. By enabling secure data sharing, it provides a real-time view of cash flows and financial health, empowering SMEs with personalised cash management tools…

Interview

Lending upswing: Tony Cripps, CEO and Managing Director, SAB, on capital discipline, housing demand and transition opportunities
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Interview: Tony Cripps, CEO and Managing Director, SAB, on capital discipline, housing demand and transition opportunities How is the current interest-rate environment influencing lending activity and business confidence? TONY CRIPPS: A more normalised interest-rate environment is acting as an added catalyst in an already robust economy, helping to lower funding costs and ease competitive pressures across the sector. Credit demand has remained strong throughout 2025 and is expected to continue into…

Analysis

Climate financing: Green bonds, support from global lenders and regulatory frameworks shape the flow of capital for the energy transition
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Emerging markets are central to the global transition to a low-carbon, climate-resilient economy, but they face challenges in mobilising the finance needed to meet these goals. Climate finance flows to emerging markets exceeded $1trn in 2023, with domestic sources accounting for around 80% of total flows. International public and private capital made up the remainder, with global public finance reaching $159bn and private investment rising sharply to $49bn, up 87% and 149% respectively, compared with 2018 levels. Despite this progress, the financing gap remains substantial. Emerging economies need nearly $3trn annually by 2030 to support climate…