Credit extended by Saudi finance companies to non-individual entities totalled SAR 20.86 billion at the end of the third quarter of 2024, reflecting an 8.4% annual increase from SAR 19.25 billion in the same period of 2023, according to the Saudi Central Bank (SAMA).
Quarterly growth was 2%, with credit rising by approximately SAR 324 million from SAR 20.53 billion at the end of the second quarter 2024.
Small enterprises accounted for 38% of the total credit, receiving SAR 7.88 billion. Medium enterprises followed with 33% (SAR 6.93 billion), large companies with 16% (SAR 3.40 billion), and micro-enterprises with 13% (SAR 2.64 billion).
The construction sector received the largest share of financing at SAR 6.45 billion (31%), followed by services with SAR 4.55 billion (22%), trade with SAR 3.11 billion (15%), other activities with SAR 2.05 billion (10%), and the industrial sector with SAR 1.98 billion (9.5%).
The transportation and communications sectors were allocated SAR 1.62 billion (8%), while the water, electricity, gas, and health services sectors received SAR 634 million (3%). Mining and quarrying attracted SAR 150 million (1%), agriculture and fishing sectors received SAR 124 million, government and semi-government activities were allocated SAR 117 million, and financing activities received SAR 80 million.
This expansion in credit aligns with SAMA’s projections that banking credit is anticipated to grow during 2024 and 2025, primarily driven by non-financial corporations.
The increase in credit to non-individuals reflects the ongoing demand for financing across various economic sectors in Saudi Arabia, supporting the Kingdom’s broader economic diversification objectives.
