Saudi Banks' 2025 Profits Climb 16% to SAR 92.5bn

Saudi Arabia's banking sector continued its strong run into 2026, with aggregate net profit reaching about SAR 92.5 billion in 2025 — a rise of roughly 16% year-on-year — as lending books expanded and interest margins held broadly steady.

Sector-wide profits topped SAR 95 billion in 2025, and if current trends hold, total profits could surpass SAR 100 billion in 2026. The momentum carried into the new year: the 10 listed Saudi banks recorded combined net profit of around SAR 24 billion in the first quarter of 2026, up about 7–8% from a year earlier. First-half 2026 aggregate profit reached roughly SAR 48.8 billion, nearly 7.9% higher year-on-year, while pre-Zakat and tax profit in June 2026 hit a record SAR 10.1 billion.

Margins and lending

Net interest income grew around 8–9% in 2025, supported by higher financing and investment income despite a modest squeeze on margins. In the first quarter of 2026, net interest margins stayed broadly stable at roughly 2.8–3.0%, with the sector average near 2.84% — funding costs of about 3.2% weighed against an average return on credit close to 7.8%. Non-interest income was a standout, climbing about 19–21% in 2025 on stronger fees and commissions.

Total bank credit reached about SAR 3.4 trillion by April 2026, reflecting annual growth of around 8% — the slowest pace since 2020, but still positive. Lending to the private sector stood near SAR 3.266 trillion at the end of June 2026, up roughly 7% year-on-year, driven largely by private-sector activity and projects tied to رؤية السعودية 2030.

For residents and businesses, the figures point to a well-capitalised sector with growing appetite to finance homes, projects and expansion. Steady deposit growth and stable margins suggest banks remain in a solid position to keep credit flowing across the Kingdom.

---

Stay updated with the latest news, events, sports updates, business insights, real estate and lifestyle stories on Saudi Living — the leading online platform for residents, expats, and visitors in Saudi Arabia.

Follow Saudi Living for daily updates:

• Instagram - @saudiliving
• X - @saudiliving
• Facebook - @saudiliving
• YouTube - @saudiliving