Skip to main content

Saudi’s credit splurge a slow-burning risk

The rapid expansion of commercial bank lending in Saudi Arabia has raised the risk of an increase in non-performing loans and heightened the exposure of the banking sector to both the real estate market and global risk appetite. But, Saudi banks are extremely well capitalised, and the sovereign’s balance sheet is strong, making it difficult to see serious strains emerging in the near- to medium-term.

CE Advance clients can explore the financial risks facing Saudi Arabia and all major EM economies in our EM Financial Risk Indicators Dashboard.

Subscriber content

Read this in full, free

Start a free trial and use one of your 10 free starter credits to unlock this piece.


Free. 10 articles. No card required.

By completing this form you are agreeing to our Terms and Conditions for the provision of a free trial of Capital Economics' services. We take your privacy seriously and will not share your details with others without your consent. By providing your details, including your email address, you are consenting to Capital Economics sending you macroeconomic commentary and analysis. You can unsubscribe at any time. See our Privacy Policy for more information.