According to official data, the money supply in Saudi banks increased by 9% in June 2023 compared to the same month in 2023, reaching SR2.9 trillion ($773 billion).
Figures from the Saudi Central Bank, or SAMA, show that the growth was mostly driven by a 17.32 percent increase in the term and savings accounts of the institutions, reaching SR903.71 billion.
These accounted for 31% of the overall money supply, making up the second largest element; demand deposits accounted for 49% of the total.
Over this time, these products saw a 7% rise, reaching SR1.42 trillion.
Twelve percent of the overall money supply was made up of other quasi-money holdings, which included bank repo transactions with the private sector, foreign currency deposits, and marginal payments for letters of credit. During that time, there was a minor 0.32 percent gain in this category.
8 percent of the money supply was made up of nonbank currency, and that percentage increased by 4 percent.
The majority of nations in the Gulf Cooperation Council, Saudi Arabia included, peg their currencies to the US dollar in order to prevent exchange rate volatility and remove uncertainty from international transactions.
Also Read:
Saudi Arabia’s POS Increases by 2.8% to Restore Momentum: SAMA
Saudi Arabia’s Non-Oil Industry Propels 1.4% GDP Growth: GASTAT
