Saudi Arabia Dominates Forbes Middle East’s “30 Most Valuable Banks” Ranking
In a remarkable feat, Saudi Arabia claims the spotlight in Forbes Middle East’s latest ranking of the “30 Most Valuable Banks,” with a staggering 25 percent annual increase in the cumulative market value of the Kingdom’s entities.
Top Performers in Saudi Arabia
Topping the list is Al Rajhi Bank, witnessing a remarkable growth in market value by $21.7 billion over the past year, reaching a total of $96.6 billion. Following closely is Saudi National Bank with a valuation of $68.2 billion, securing the second spot in the ranking.
The Report’s Insights
Compiled using data from financial institutions listed on stock exchanges within the Arab world, the report excludes subsidiaries of other listed companies. The 30 banks featured in the ranking collectively hold a value of $581.1 billion, marking a 14 percent increase from the previous year.
Gulf Dominance and Resilience
Gulf entities dominate this year’s ranking, with 26 out of the 30 banks based in the Gulf Cooperation Council. This dominance is attributed to the resilience shown by the region’s banking sector, supported by higher interest rates and oil prices.
Regional Competition
Following closely behind Saudi Arabia is the UAE, boasting seven entries with a total market value of $128.7 billion. Qatar secures the third spot with six entries valued at $73.6 billion, with Abu Dhabi Bank in third place with a market value of $41.5 billion.
Outlook for the Middle East
Fitch Ratings’ 2024 outlook report predicts that rising interest rates and oil prices will uphold strong economic conditions in the Middle East. Most GCC banking systems are anticipated to maintain reasonable levels of liquidity, profitability, and adequate capital buffers in the coming year.