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RIYADH: ����ֱ�� and Syria have signed an agreement to protect and promote mutual investments between both countries. 

The deal was signed on the sidelines of a roundtable in Riyadh, following the arrival of a Syrian delegation of government officials and private sector leaders, led by the country’s Economy and Industry Minister Mohammad Nidal Al-Shaar. 

The event builds on last month’s Syrian-Saudi Investment Forum in Damascus, where over 100 firms from the Kingdom, alongside 20 government agencies, signed 47 deals worth $6.4 billion across sectors including real estate, infrastructure, and finance, as well as telecom, energy, and industry. 

In a post on its official X account, the Saudi Ministry of Investment described the latest deal as “a step that reflects the depth of investment ties and paves the way for distinctive cooperation between the two nations.” 

The ministry added that the scope includes safeguarding investors and investments, accelerating integration, ensuring a secure environment backed by favorable laws, and boosting the flow of capital into key sectors. 

The deal also addresses challenges facing investors, aims to boost the flow of mutual investments across various sectors, and seeks to create new job opportunities. 

“The agreement underscores the depth of historical and economic ties between ����ֱ�� and the Syrian Arab Republic,” the ministry added in its post on X. 

Speaking at the Riyadh roundtable, Saudi Minister of Investment Khalid Al-Falih said the Kingdom supports the private sector’s proposal to establish a “Fund of Funds” to facilitate and manage Saudi investments in Syria. 

“In the field of infrastructure, an agreement was reached last week between Saudi-based Khashoggi Holding Co. and Syria’s Radiant Structures to enter into a strategic partnership with Sinoma to implement a joint project that includes establishing a cement plant with a daily capacity of 6,000 tonnes,” Al-Falih said during his opening remarks. 

He also revealed that 80 Saudi companies have registered to participate in the Damascus International Fair, which will be held after a six-year pause from Aug. 27 to Sept. 5. 

“We aim to overcome the economic challenges in Syria and support the establishment of a Saudi investment fund in Damascus,” Al-Falih said, as reported by Al-Ekhbariya. 

He further emphasized that Syria’s new investment law reflects the country’s commitment to building an investment-driven future. 

The deal follows Al-Shaar’s earlier meeting with Saudi Minister of Commerce Majid Al-Qasabi in Riyadh, where the two sides discussed ways to strengthen cooperation and expand investment opportunities, according to the Syrian Arab News Agency. 

Both officials emphasized the importance of strengthening fraternal ties between the two nations and highlighted the need for coordinated efforts to address global economic challenges. 

Talks also focused on expanding cooperation in industry and trade, with the aim of attracting more joint investments and enhancing the growth prospects of both the Saudi and Syrian economies. 

Al-Shaar’s visit forms part of ongoing efforts to strengthen economic relations and expand trade between the two countries.

RIYADH: Saudi banks’ outstanding loans reached SR 3.2 trillion ($849.7 billion) in June, marking a 15.8 percent increase compared to the same month of 2024. 

According to data from the Saudi Central Bank, known as SAMA, the majority of this growth, some 76 percent, was driven by corporate lending, which totaled SR1.8 trillion.

Loans to individuals accounted for the remaining SR1.4 trillion, although their share declined from nearly 50 percent a year earlier to about 44 percent. 

Business loans posted a 22.5 percent year-on-year increase, reflecting vigorous demand across sectors tied to Vision 2030 initiatives. Real estate emerged as a standout, with banks extending SR384 billion in financing, making up nearly 22 percent of corporate loans, and reflecting a 39 percent year-on-year jump. 

Wholesale and retail trade ranked second, comprising 11.92 percent of corporate lending at SR213.1 billion, reflecting an 8.43 percent annual rise. The electricity, gas, and water supply sector followed with an 11.15 percent share, or SR199.31 billion, while manufacturing accounted for 10.76 percent, reaching SR192.25 billion.. 

Real estate and transportation and storage recorded the highest growth rates at 39.9 percent, while health and social work activities grew 35.4 percent to SR26.9 billion, and the financial and insurance sector climbed 34 percent to SR167.5 billion, according to SAMA’s June figures. 

The financing increase underscores banks’ critical role in propelling Vision 2030’s economic diversification. They are instrumental in funding giga‑projects, infrastructure expansion, transport developments, housing initiatives, and social services. 

Real estate lending boom stems from rising homeownership goals, urban expansion, and megaprojects such as NEOM, further bolstered by regulatory advancements enhancing transparency and efficiency in property finance. 

Digital innovation and fintech are also key enablers of this transformation. Electronic payments accounted for 79 percent of all retail transactions in 2024, up from 70 percent in 2023, as part of SAMA’s drive to push digital adoption across the economy. 

By the end of the second quarter of 2024, the number of fintech firms operating in ����ֱ�� had climbed to 224, surpassing the interim target of 168 under the Financial Sector Development Program.

That momentum continued through the year, with the sector expanding to 261 licensed companies by December, according to the program’s annual report. 

As of mid-2025, the fintech ecosystem has grown further, with 317 firms active in the Kingdom, including 86 that have secured funding and raised a combined $4.66 billion in venture capital, according to a July report by Tracxn. 

This ecosystem is powering digital banking, embedded finance, digital wallets, and fintech solutions that make banking and payments more accessible, efficient, and aligned with modern consumer needs. 

The government’s long-term target, as outlined in the Financial Sector Development Program, is to scale up to 525 fintech companies and create more than 18,000 sector-related jobs by 2030, reinforcing the Kingdom’s drive to position itself as a regional hub for financial innovation. 

The robust lending landscape translated into strong earnings across the banking sector. The Saudi National Bank reported a second-quarter net profit of SR6.1 billion, up 17.3 percent year on year, citing increases in operating income and reductions in impairment provisions, according to its filings on Tadawul. 

Al Rajhi Bank posted SR6.15 billion in profit, a 31 percent rise, driven by strong financing and investment income despite a rise in provisioning. 

Other banks also recorded impressive gains. Saudi Awwal Bank saw net earnings of SR2.13 billion, up 9.5 percent, while Banque Saudi Fransi earned SR1.30 billion, rising 21 percent, based on Tadawul disclosures.  

Sector-wide, second-quarter combined profits topped SR23 billion, marking the strongest quarterly earnings in Saudi banking history.