Latest news with #RiyadBank
Asharq Al-Awsat
3 days ago
- Business
- Asharq Al-Awsat
Saudi Banks Post Record-Breaking Profits in Q1 2025
Saudi banks achieved historic profits in the first quarter of 2025, recording their highest-ever quarterly earnings at $5.94 billion (SAR 22.26 billion). This marks a notable 19% increase compared to the same quarter in 2024, representing a gain of $965 million (SAR 3.62 billion). All ten listed banks on the Saudi stock exchange reported growth in net profits during the first quarter, reflecting robust performance across the industry. The National Commercial Bank (NCB) led the way with SAR 6.02 billion in net profit, up 19.48% from the first quarter of last year. Al Rajhi Bank ranked second with SAR 5.9 billion in profit, posting the highest growth rate among its peers at 34%. Riyad Bank came in third, with SAR 2.48 billion in net income, reflecting a 19.94% increase. Operating Income Drivers Dr. Suleiman Al-Humaid Al-Khalidi, a financial markets analyst and member of the Saudi Economic Association, attributed this record-breaking performance to several key factors: the expansion of lending portfolios, higher net commission and operating income, and a decline in loan loss provisions. He noted that the reduction in provisions -funds set aside to cover potential loan defaults- was a significant factor supporting profit growth. Additionally, banks benefited from returns on debt instruments and a notable expansion in mortgage financing, both of which contributed to the strong results. Al-Khalidi expects Saudi banks to maintain this strong momentum in the coming quarters, projecting that total annual profits could reach SAR 85–90 billion by year-end. Such figures, he said, would set new historical benchmarks and reflect the strength, resilience, and diversification of the Saudi economy. Interest Rates and Market Conditions Mohamed Hamdy Omar, economic analyst and CEO of GWorld, echoed this positive outlook, crediting the sector's performance to the continued robustness of Saudi banks. He cited persistently high global interest rates, contractionary monetary policies, and the Saudi riyal's peg to the US dollar as key drivers that boosted lending margins. He pointed out that growth in lending portfolios, especially in real estate and corporate loans, has been driven by Vision 2030 initiatives and major infrastructure projects, all of which significantly enhanced fee income and operational earnings. Looking ahead, Omar predicted continued strong performance for the banking sector in the remainder of 2025, supported by steady interest rates and strong demand for financing. However, he cautioned that any global move toward lowering interest rates could pressure profit margins, underscoring the importance of income diversification and enhanced digital services. He stressed the need for vigilance regarding geopolitical developments and oil prices, both of which influence liquidity and credit activity in the Saudi market. Omar concluded by highlighting the importance of investing in financial technology and digital transformation to boost competitiveness and attract new customer segments, while also encouraging banks to diversify their portfolios to hedge against future risks.
Zawya
4 days ago
- Business
- Zawya
Riyad Bank and Mastercard launch a unique program empowering MSMEs in the Kingdom
Riyadh, Saudi Arabia – Riyad Bank and Mastercard have collaborated to provide small and medium-sized businesses in Saudi Arabia with enhanced access to funding. The two entities have introduced a unique credit card program offering micro, small, and medium-sized enterprises (MSMEs) access to financial solutions to grow and thrive. As part of the agreement, Riyad Bank will enable MSMEs across the Kingdom with a three-tier credit program providing greater choice and flexibility in the form of unique cards: the Mastercard NMOO Business Credit Card, Mastercard NMOO Executive Credit Card, and Mastercard NMOO World Credit Card. Each of these unique products will offer flexible limits, supporting enterprises and entrepreneurs to take greater control of their futures. They will deliver real-time solutions that support MSMEs to help buy, operate and sell, bridging financing gaps, and providing access to funding by enabling enterprises to get approved for credit facilities, for example, for business expansion. The launch of the three-tier credit program marks the latest step by Mastercard and Riyad Bank to serve MSMEs of all sizes and business types across multiple segments and sectors. The program caters to the specific needs and evolving demands of MSMEs in a rapidly changing global economy. 'As one of the largest financial institutions in the Kingdom, we are fully committed to serving as a trusted financial solutions partner to the people, businesses, and entities we support,' said Mohammed Abo Al-Naja Chief Corporate Banking Officer, Riyad Bank. 'Over the years, we have helped to drive the growth and development of Saudi Arabia's micro, small, and medium-sized enterprises ecosystem, and today, we are more determined than ever to empower businesses to realize their potential. We are pleased to have partnered with Mastercard to launch our truly novel three-tier credit program, powering the future of MSMEs with timely access to crucial funding.' 'At a time when Saudi entrepreneurship is truly beginning to flourish, we recognize that effective partnerships and innovation are essential to empowering micro, small, and medium-sized enterprises (MSMEs) to advance and thrive,' said Adam Jones, EVP and Division President, West Arabia, Mastercard. 'Our partnership with Riyad Bank was launched with this goal in mind. Together, we aim to provide MSMEs with essential access to critical lending and funding. We look forward to expanding our first-of-its-kind program to more businesses across the country and supporting them in achieving their goals.' In line with Vision 2030 and the National Transformation program, Riyad Bank's partnership with Mastercard's will help to strengthen Saudi Arabia's MSME infrastructure, curating an extensive range of modern financial solutions that will prime enterprises across the Kingdom for even more lasting success. By introducing novel, responsive offerings that cater to businesses' needs, Riyad Bank and Mastercard will further enable MSMEs to unlock their potential and increase their contribution to GDP. With SME needs in the Kingdom constantly evolving — beyond banking and payments — the partnership will help to create a comprehensive ecosystem of business tools to address the full scope of these businesses' demands. The Mastercard NMOO Executive Credit Card will empower MSMEs to enhance their businesses by streamlining cashflow management, improving inventory procurement and facilitating supplier payments. Crucially, it will also help to support the travel and entertainment needs of MSMEs' clients and consumers. The Mastercard NMOO Business Credit Card has been introduced to empower entrepreneurs to enhance their businesses through access to the Easy Savings Specials Marketplace and innovative Management Subscription Platform, while the Mastercard NMOO World Credit Card supports investors, business leaders and startup founders with direct guidance and competitive rates. According to the Small and Medium Enterprises General Authority, Monsha'at, Saudi Arabia is now home to over 1.3 million small and medium-sized enterprises, with strong public investment and high venture capital investments raising the total number of enterprises in the Kingdom.. With MSMEs evolving at a rapid pace, in line with the acceleration of digital transformation and consumers' changing preferences, the introduction of Mastercard and Riyad Bank's three-tier credit program comes at an opportune time when gaining access to funds and establishing financial systems that help to build credit are top-of-mind. About Mastercard Mastercard powers economies and empowers people in 200+ countries and territories worldwide. Together with our customers, we're building a sustainable economy where everyone can prosper. We support a wide range of digital payments choices, making transactions secure, simple, smart and accessible. Our technology and innovation, partnerships and networks combine to deliver a unique set of products and services that help people, businesses and governments realize their greatest potential. About Riyad Bank Riyad Bank is one of the largest financial institutions in the Kingdom of Saudi Arabia and the Middle East. Established in 1957, with a paid-up capital of SAR 30 billion. With more than 5,700 employees, Riyad Bank takes pride in being among the top Saudi organizations with the highest national employment rate of 96%. 28% of them are being women. Riyad Bank provides a comprehensive range of products and services fully compliant with the Islamic Sharia' to meet the needs of both retail and corporate customers, including small and medium-size enterprises. It plays a leading role in various areas of finance and investment around Saudi Arabia, that is why Riyad Bank is distinguished as a leading financier and arranger of syndicated loans in the oil, petrochemicals and most of the Kingdom's mega projects. Riyad Bank offers innovative and remarkable financing solutions through a network of 224 licensed branches, and more than 255,442 POS, in addition to more than 1,830 ATMs well distributed in strategic & carefully selected locations around the Kingdom. Since the global expansion is essential for some of Riyad Bank customers outside the Kingdom, a branch in London and office in Houston (USA) and a Representative Office in Singapore, help in supporting the international banking needs of such customers. Our electronic banking services (web-based and mobile applications) use the latest digital technologies to address the banking needs of our customers with utmost ease, convenience and security. Our Values We Care We Win We are One Team
Finextra
6 days ago
- Business
- Finextra
Mastercard opens cyber resilience centre in Saudi Arabia
Mastercard has launched its Cyber Resilience Center, an initiative that brings together key players from the financial sector to foster collaboration and support shared goals in building a secure commerce and payment ecosystem in the Kingdom. 0 This content is provided by an external author without editing by Finextra. It expresses the views and opinions of the author. This is Mastercard's first initiative in the Middle East, extending the company's global network of cyber resilience centers which includes locations in Europe and the United States. Riyad Bank has joined as the first partner and will collaborate with Mastercard on training programs, risk evaluations, and the adoption of global cybersecurity standards. The center marks a pivotal milestone in reinforcing the Kingdom's cybersecurity infrastructure, enabling stronger collaboration to protect its fast-evolving digital economy. With cyber threats becoming more sophisticated and persistent, the center will provide a platform to equip organizations with the tools, expertise, and strategies needed to detect, prevent, and respond to risks in real-time. It will also serve as a catalyst for expanding local cybersecurity talent and fostering a culture of continuous learning and improvement. At the heart of the initiative are three core pillars: Education & Training: Supporting the development of local cybersecurity talent by working with financial institutions to introduce certifications in Arabic and host knowledge-sharing sessions. Standards & Best Practices: Building trust in the digital ecosystem by setting measurable cybersecurity benchmarks and enabling institutions to track progress through clearly defined improvement targets. Risk Assessments & Readiness: Enhancing preparedness through cyber defense exercises, scenario planning, and threat-casting workshops to anticipate and mitigate evolving risks. Mastercard's Cyber Resilience Center aligns with the objectives of Saudi Vision 2030, contributing to the Kingdom's commitment to secure digital transformation, improved public services, and a robust environment for technology-led innovation. Mastercard has invested $10.7 billion in cybersecurity innovation over the last six years, assessing evolving threats, protecting customers and enhancing trust across the digital ecosystem. According to the 2025 Digital Trust Insights Survey, 55% of Middle East organizations plan to prioritize digital and technology risk mitigation over the next year, compared to 53% globally. 'At Riyad Bank, safeguarding customer trust is central to everything we do. In a rapidly evolving cyber threat landscape, our collaboration with Mastercard through the Cyber Resilience Center is a testament of our proactive approach to cybersecurity. This partnership enables us to further strengthen our defense frameworks, accelerate the adoption of global best practices of global security, and fortify security in the Kingdom's financial sector. 'We remain committed to delivering a secure, seamless, and trusted banking experience for every customer,' said Mr. Ibrahim A Al-Sulobi SVP, Head of Cyber & Information Security Dept at Riyad Bank. 'We live in an ultra-connected world where cyber threats are becoming more targeted and complex, even as the need for trust and assurance increases. The launch of the Cyber Resilience Center in Riyadh reflects Mastercard's commitment to staying ahead of emerging risks and helping our partners do the same. We're proud to work with Riyad Bank to help advance a secure ecosystem in the Kingdom, and ensure that people, businesses, and institutions in Saudi Arabia are protected through world-class capabilities,' said Adam Jones, EVP, Division President, West Arabia, Mastercard. The Cyber Resilience Center will further position Saudi Arabia as a regional leader in digital security and strength, ensuring its financial sector remains a trusted foundation for innovation and long-term economic growth. Mastercard will continue to expand and enhance its cybersecurity capabilities through innovation and acquisitions. Last year, Mastercard acquired Recorded Future, the world's largest threat intelligence company. The acquisition aims to strengthen trust and enhance security within the digital payment ecosystem.
Arab News
7 days ago
- Business
- Arab News
Saudi Arabia's non-oil exports climb 13.4% in Q1: GASTAT
RIYADH: Saudi Arabia's non-oil exports rose 13.4 percent to SR80.72 billion ($21.52 billion) in the first quarter of 2025 compared to a year earlier, underscoring the Kingdom's ongoing efforts to diversify its economy. According to preliminary data released by the General Authority for Statistics, national non-oil exports — excluding re-exports — grew by 9 percent, while the value of re-exported goods surged 23.7 percent. This growth aligns with Saudi Arabia's Vision 2030 goal of developing a robust non-oil sector to transform the Kingdom's economy and reduce its dependence on oil revenues. 'The ratio of non-oil exports (including re-exports) to imports increased to 36.2 percent in the first quarter of 2025 from 34.3 percent in the first quarter of 2024. This is attributed to the increase in non-oil exports compared to imports of 13.4 percent and 7.3 percent, respectively, during the same period,' GASTAT stated. Affirming the momentum in the non-oil sector, a report released by S&P Global in collaboration with Riyad Bank noted that the Kingdom's Purchasing Managers' Index stood at 55.6 in April — well above the neutral 50 mark — indicating solid non-energy business growth. GASTAT data showed that chemical products dominated non-oil exports in the first quarter, accounting for 23.8 percent of total outbound shipments, up 8.1 percent from the same period in 2024. Plastic and rubber products followed, representing 21.9 percent of non-oil exports. In a broader economic context, Saudi Arabia's gross domestic product grew 2.7 percent year on year in the first quarter, driven by strong non-oil activity, according to a separate GASTAT report released in May. Commenting on the GDP figures, Minister of Economy and Planning Faisal Al-Ibrahim, who also chairs GASTAT's board, said at that time that the contribution of non-oil activities to the Kingdom's GDP reached 53.2 percent — an increase of 5.7 percent from previous estimates. He added that the Kingdom's economic outlook remains positive, supported by structural reforms and high-quality, state-led projects across various sectors. Despite the rise in non-oil exports, total merchandise exports fell 3.2 percent year on year in the first quarter to SR285.78 billion, due to an 8.4 percent decline in oil exports. As a result, oil exports' share of total exports dropped from 75.9 percent in the first quarter of 2024 to 71.8 percent in the first quarter of 2025. China remained Saudi Arabia's top trading partner during the quarter. Exports to China totaled SR44.91 billion, followed by India at SR28.04 billion and Japan at SR26.48 billion. South Korea received goods worth SR25.03 billion from Saudi Arabia, followed by the UAE at SR24.85 billion, Egypt at SR10.19 billion, and the US at SR9.42 billion. Saudi Arabia also exported goods worth SR8.64 billion to Poland, SR8.40 billion to Bahrain, and SR7.17 billion to Taiwan. Imports in the first quarter stood at SR222.73 billion, reflecting a 7.3 percent year-on-year increase. However, the merchandise trade surplus fell 28 percent over the same period. Electrical and machinery equipment made up 26.6 percent of total imports, while transport equipment accounted for 14.6 percent. The report revealed that the Kingdom received goods worth SR59.33 billion from China, followed by the US at SR17.58 billion, India at SR12.27 billion, and the UAE at SR11.82 billion. King Abdulaziz Sea Port in Dammam was the top entry point for imports, handling SR59.97 billion in goods, or 26.9 percent of total inbound shipments. Jeddah Islamic Sea Port followed with 21.5 percent, King Khalid International Airport in Riyadh with 13.5 percent, and King Abdulaziz International Airport with 8.4 percent. Non-oil exports rise 10.7% in March In a separate release, GASTAT reported that Saudi Arabia's non-oil exports in March rose 10.7 percent year on year to SR27.03 billion. Chemical products accounted for 25.7 percent of total outbound shipments, followed by plastic and rubber products with a 23.3 percent share. 'The ratio of non-oil exports (including re-exports) to imports increased to 36.5 percent in March 2025 from 33.0 percent in March 2024. This is attributed to the increase in non-oil exports compared to imports of 10.7 percent and 0.1 percent, respectively, during the same period,' the report noted. However, total merchandise exports in March declined 9.8 percent year on year, driven by a 16.1 percent drop in oil exports. Consequently, oil exports as a share of total exports fell from 76.5 percent in March 2024 to 71.2 percent in March 2025. In March, Saudi Arabia exported goods worth SR14.50 billion to China, while India received inbound shipments valued at SR8.78 billion. The Kingdom also sent goods valued at SR8.19 billion to Japan, followed by the UAE at SR7.23 billion, South Korea at SR6.50 billion, and the US at SR3.36 billion. Imports edged up 0.1 percent year on year in March to SR73.98 billion. The trade surplus, however, fell 32.4 percent compared to March 2024. China remained the Kingdom's top import source in March, shipping goods worth SR18.69 billion. It was followed by the US at SR5.76 billion, the UAE at SR4.36 billion, and India at SR3.60 billion. Saudi Arabia also imported SR3.36 billion worth of goods from Japan and SR3.21 billion from Germany during the month. King Abdulaziz Sea Port in Dammam remained the primary import hub, handling SR18.58 billion worth of goods in March — 25.1 percent of total imports. Jeddah Islamic Sea Port followed with 21.5 percent, King Khalid International Airport with 15.3 percent, and King Abdulaziz International Airport with 9.8 percent.
Fintech News ME
7 days ago
- Business
- Fintech News ME
Mastercard Launches Cyber Resilience Centre in Riyadh
Mastercard has launched its Cyber Resilience Centre in Riyadh, an initiative aimed at fostering collaboration within the financial sector to strengthen the Kingdom's commerce and payment security framework. This marks Mastercard's first such initiative in the Middle East, extending its network of cyber resilience centres already established in Europe and the United States. Riyad Bank is the first institution to join as a partner and will work with Mastercard on various initiatives including training programmes, risk assessments, and the implementation of international cybersecurity standards. The establishment of the centre represents a key step in supporting Saudi Arabia's cybersecurity infrastructure and facilitating collaboration to safeguard its rapidly growing digital economy. As cyber threats become more advanced and persistent, the centre is intended to serve as a platform for organisations to access the tools, knowledge, and strategies necessary to address risks effectively and in real time. It also aims to contribute to the development of local cybersecurity expertise and promote ongoing learning and capacity building. The centre will focus on three primary areas. First, education and training, which involves working with financial institutions to introduce cybersecurity certifications in Arabic and organise knowledge-sharing sessions. Second, the adoption of standards and best practices to improve trust in the digital landscape, including the creation of benchmarks and measurable progress indicators. Lastly, risk assessment and readiness efforts will be supported through cyber defence simulations, scenario planning, and workshops designed to anticipate and respond to emerging threats. Commenting on the partnership, Ibrahim AlSulobi, Senior Vice President and Head of Cyber & Information Security at Riyad Bank, said: 'This partnership enables us to further strengthen our defence frameworks, accelerate the adoption of global best practices of global security, and fortify security in the Kingdom's financial sector. We remain committed to delivering a secure, seamless, and trusted banking experience for every customer.' Adam Jones, Executive Vice President and Division President for West Arabia at Mastercard, added: 'The launch of the Cyber Resilience Center in Riyadh reflects Mastercard's commitment to staying ahead of emerging risks and helping our partners do the same. We're proud to work with Riyad Bank to help advance a secure ecosystem in the Kingdom, and ensure that people, businesses, and institutions in Saudi Arabia are protected through world-class capabilities.' Mastercard stated that the Cyber Resilience Centre will help position Saudi Arabia as a regional leader in digital security, reinforcing the country's financial sector as a stable platform for innovation and sustainable economic growth. The company plans to continue expanding its cybersecurity offerings through innovation and strategic acquisitions.
