Investment bonanza: SAMA assets grow to SR2.84 trillion

Investment bonanza: SAMA assets grow to SR2.84 trillion
Updated 08 October 2014

Investment bonanza: SAMA assets grow to SR2.84 trillion

Investment bonanza: SAMA assets grow to SR2.84 trillion

The Saudi Arabian Monetary Agency raised its assets in September by SR39 billion ($10.4 billion) to reach SR2.84 trillion ($757.3 billion), an official statement issued by the central bank said on Tuesday.
“Assets rose by 6.5 percent compared to the same period last year, when assets were worth SR2.66 trillion ($709.3 billion),” it said.
SAMA attributed the increase from August 2013 to August this year to a hike in investment in foreign stocks and bonds, which amounted to SR2.08 trillion, compared with SR1.92 trillion in 2013.
“The volume of foreign currency and gold rose to SR219 billion in 2014, compared with SR202 billion in the previous year,” the statement said.
Economist Abdul Aziz Al-Fahad said SAMA’s assets in foreign countries reflect the Kingdom’s financial strength. “An increase in SAMA assets means improvement in the Kingdom’s financial condition.”
He said the increase in SAMA assets shows the country’s financial stability and its ability to confront economic crises.
“Growing SAMA assets will enable the government to make withdrawals at times of need, especially when its revenues are affected in the future,” he pointed out.
Essam Khalifa, a member of the Saudi Economic Council, said the central bank’s assets showed the Kingdom’s liquidity, including circulated currency and deposits at commercial banks.
“SAMA assets not only represent the government’s investment, but also the wealth of independent public institutions, such as the Public Investment Fund, the General Organization of Social Insurance and the Pension Fund,” he said.