Saudi Arabia’s monetary supply rose to SR 1.28 trillion in the second quarter of 2012, supported by a remarkable increase in demand deposits, which jumped from SR 677.47 billion to SR 685.98 billion, according to Saudi Arabian Monetary Agency (SAMA).

SAMA’s 2012 second quarterly report, however, reflected a slight decline in monetary liquidity during the period compared to the first quarter, when it grew by 3.85 percent compared to the second quarter, when the growth rate was 1.22 percent.

Total assets recorded in the second quarter amounted to SR 3.53 trillion, which is higher than SR 3.36 trillion of the first quarter. SAMA’s assets rose from SR 2.1 trillion in the first quarter to SR 2.216 trillion in the second quarter.

Assets of Saudi commercial banks jumped from SR 136 billion in the first quarter to SR 152.7 billion in the second quarter.

The report indicated that bank loans to the private sector rose substantially during the period as the money owed by private firms to banks rose from SR 898.9 billion to SR 933.4 billion during the period.

The lion’s share of bank credit was given for the benefit of the construction sector, the report said, adding that bank credit for the sector jumped from SR 54.19 billion to SR 69.7 billion. Bank lending to the financial sector rose from SR 14.38 billion to SR 22.4 billion.

Referring to consumer loans, the report said there was a remarkable increase in real estate finance, which rose from SR 31.37 billion to SR 47.85 billion in the second quarter.

Credit card loans increased by SR 213 million during the two quarters. Private sector imports financed by banks rose from SR 52.94 billion to SR 54.22 billion.

The report showed substantial decrease in speed transfer operations from SR 19.28 billion in the first quarter to SR 16.11 billion in the second quarter of 2012.