GCC Banks to Prove Resilient in 2024 with UAE, Saudi Banking Systems Leading

SP Global‘s ‘GCC Banking Sector Outlook 2024’ reveals a challenging yet optimistic perspective. Despite geopolitical uncertainties and potential economic headwinds, SP expects GCC banks to maintain their well-capitalised, profitable, and liquid status.

SP Global anticipates overall stability in key metrics for GCC banks in 2024. Credit growth and profitability are expected to remain robust, with the UAE and Saudi banking systems leading the region. However, potential risks, including geopolitical tensions and real estate exposure, remain.

Moreover, SP expects non-oil growth to remain dynamic in Saudi Arabia and the UAE. Meanwhile, high interest rates are anticipated to persist with a 1 percent decrease by year-end mirroring the U.S. Federal Reserve’s trajectory.

News Source: Emirates News Agency