Figures, according to the report that Namazin obtained a copy of, also indicate marginal effects as a result of the drop in oil prices, which are still low compared to levels before the financial crisis. A number of factors contributed to the increase in the total assets of banks listed in the GCC countries, with a compound annual growth rate of 7 percent over the past five years.
These factors include the availability of a strong market for projects worth more than $ 3 trillion between projects under preparation or implementation, the government's focus on developing the non-oil sector, and a decline Interest rates in light of the central banks ’failure to follow all the steps of the US Federal Reserve in raising interest rates, in addition to the stability witnessed by the economic environment recently and recording real growth rates averaging over 2% over the past five years.
In terms of profitability, the banks listed on the Gulf stock exchanges continued to record an increase in profit margins during the past three years. As the net interest margin increased by 10 basis points over the past three years, with a growth rate of 3.1% for the total Gulf banking sector, despite the low rate of loans to deposits during the past two years, reaching 81.8% in what is considered one of the lowest rates in the world.
As for the individual level of each country separately, the UAE banks acquired the largest share of the total assets in the countries of the Gulf Cooperation Council with a total value of $ 674 billion or whatever It represents 31% of the sector as a whole, followed directly by Saudi Arabia with 28%.
In terms of each country’s contribution to net interest income, Saudi Arabia came in the lead, with its acquisition of a third of the total value, followed by the UAE at 29.5%, and the Kingdom recorded the highest growth rate In the net interest margin of 3.4%, followed by the UAE and Kuwait at 3.2% and 3.0%, respectively.
In terms of customer deposits, the UAE recorded the largest growth rate in 2018 with a total value of $ 31 billion, or 7%, followed by Saudi Arabia with $ 11 billion in deposits. American.
Namazone Services .. Programmed technical analysis platform ... for UAE, Saudi, and global markets
To more:
