IslamicFinance.de

The fourth-quarter results of leading Saudi banks show a number of these institutions are facing a squeeze on profits as both loans and deposits decline and asset quality deteriorates further. At the close of the fourth quarter, Saudi Hollandi Bank reported a 2.3 per cent fall in fourth-quarter net profit on higher staffing costs and provisions for bad loans. Saudi British Bank (SABB), an affiliate of HSBC Holdings, posted a 3.1 per cent drop in fourth-quarter net profit and Riyad Bank posted a 19.7 per cent fall in fourth-quarter net profit, in line with analysts’ forecasts as Samba Financial Group reported flat net profit for the fourth quarter. The notable exception was Al Rajhi Bank which reported a 28.2 per cent rise in its fourth-quarter net profit.