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FINANCIAL NEWS
Saudi Arabia to inject 20b riyals for fiscal stability
26 Sep 2016
(MENAFN) Saudi Arabia proclaimed that it would inject almost 20bn riyals at commercial banks and introduce two new money market instruments to avoid a surge in market rates.
Moreover, it will also introduce seven and 28 day purchase deals to lend money to banks when needed, while it also used repo agreements with one-day maturities.
However, low global oil prices slashed government income and the volume of petrodollars following into the Saudi banking system.
Accordingly, the central bank reiterated that the Saudi banking system was healthy, with non-performing loans worth no more than 1.3 percent of all loans.
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