The data on Bank Nonperforming Loans (NPL) to Total Gross Loans ratio in Saudi Arabia indicates a peak in 2020 at 2.18, following an increasing trend from 1.31 in 2013. Post-2020, the ratio shows a steady decline, reaching 1.68 in 2023. The year-on-year variation between 2022 and 2023 is a decrease of -5.6%, while over the last two years it has declined by -8%. The 5-year Compound Annual Growth Rate (CAGR) from 2023 to 2028 is forecasted at -2.87%, showing a stable downward trajectory, and the total 5-year growth rate suggests a decrease of -13.57% by 2028.
Future trends to watch for:
- Economic Reforms: Continuous government initiatives to diversify the economy could further improve asset quality in banks.
- Regulation Changes: Enhanced regulatory frameworks may help maintain NPL ratios.
- Global Economic Conditions: Fluctuations in oil prices and global economic stability will directly impact loan performance in the banking sector.
Latest reports
US Banking Market Report- Q1 2025
The first quarter of 2025 saw significant transformations within the US banking sector, driven by technological advancements, strategic initiatives, and evolving consumer behavior....
China Banking Market Report- Q1 2025
The first quarter of 2025 has been a pivotal period for the banking sector in China, marked by significant trends and strategic shifts...
Japan Banking Market Report- Q1 2025
The first quarter of 2025 has been pivotal for the banking sector in Japan, characterized by transformative trends and strategic shifts. The sector...
Germany Banking Market Report- Q1 2025
In the first quarter of 2025, the German banking sector navigated a complex landscape marked by several transformative trends and challenges. The introduction...
India Banking Market Report- Q1 2025
In the first quarter of 2025, the Banking in India landscape experienced significant transformations driven by digitalization, strategic partnerships, and regulatory shifts. This...
UK Banking Market Report- Q1 2025
The UK banking sector in Q1 2025 navigated a complex landscape characterized by economic volatility, significant strategic shifts, and advancing technological adoption. Key...
Brazil Banking Market Report- Q1 2025
In Q1 2025, the Brazilian banking sector continues its digital transformation, heavily influenced by consumer demand for convenience and security. The rapid adoption...
Italy Banking Market Report- Q1 2025
The first quarter of 2025 has been pivotal for the banking sector in Italy, characterized by notable mergers, strategic shifts in digital transformation,...
South Korea Banking Market Report- Q1 2025
The first quarter of 2025 marked a significant period for the banking industry in South Korea, driven by notable trends in digital transformation,...
Australia Banking Market Report- Q1 2025
The Australian banking sector in Q1 2025 showcased remarkable advancements across multiple segments, driven by digital transformation, strategic collaborations, and innovative financial products....
