Saudi Arabia's banking sector has emerged as the dominant force in the Middle East, according to Forbes Middle East's recently released "30 Most Valuable Banks" list. With ten entries, representing one-third of the total, Saudi banks boast a combined market value of a staggering $279.5 billion. This marks a significant 25% increase in the cumulative market value of Saudi banks on the list compared to 2 023.
The list highlights the resilience and profitability of the Saudi banking sector, particularly in a year marked by global economic uncertainties. This strength is attributed to a combination of factors, including rising oil prices and interest rates. Al Rajhi Bank, a leading Islamic lender, secured the top spot on the list with a market value of $96.6 billion, reflecting a $21.7 billion increase over the past year. Saudi National Bank (SNB), the kingdom's largest lender by assets, followed closely behind at $68.2 billion.
The UAE, another Gulf Cooperation Council (GCC) member state, also displayed a strong presence on the list, claiming seven spots with a combined market value of $128.7 billion. First Abu Dhabi Bank (FAB) emerged as the UAE's most valuable bank, ranking third overall with a market value of $41.5 billion. Qatar placed third regionally with six banks on the list, for a total market value of $73.6 billion.
Overall, the 2024 Forbes Middle East list underscores the growing strength of the Middle East's banking sector. The combined market value of the top 30 banks reached $581.1 billion, representing a 14% increase from 2023. This positive trend indicates the region's financial institutions are well-positioned to navigate the global economic landscape and support future growth.
While Saudi banks reign supreme this year, the financial sectors across the GCC continue to demonstrate stability and potential for future expansion. The ranking by Forbes Middle East serves as a valuable benchmark for investors and industry leaders seeking insights into the region's dynamic banking landscape.