Company issued Al Rajhi Capital It issued a report on its expectations for the banking sector in Saudi Arabia, as it raised its expectations for the growth of the volume of loans in the Kingdom during the current and next two years.
Al-Rajhi Capital stated that it expects loans to grow by 14% and 12%, respectively, in the current and next years, compared to growth of 13% and 11%, respectively.
The company attributed the increase in its forecast to an expected growth in commercial loans to companies, while it kept its forecast for the growth of residential loans unchanged and lowered the forecast for the growth of personal loans.
On the other hand, it expected a significant decline in net interest income in 2022.
Head of Research at Al Rajhi Capital, Mazen Al-Sudairy
For his part, Mazen Al-Sudairi, head of research at Al-Rajhi Capital, said in an interview with Al-Arabiya today, Tuesday, that Al-Rajhi Capital’s expectations were built on the expectation of an average oil price of $85 per barrel over the next 3 years, continuing: “It is a logical number.” is very”.
Mazen Al-Sudairi added that the second factor on which the expectations were built is the rise in SIBOR prices in 2023 to the highest limit at 5.9%, before it began to decline, in light of the US Federal Reserve raising interest rates to 5% or a little more before it began to decline. .
