The Saudi Central Bank highlighted the International Monetary Fund’s 2026 Article IV assessment that systemic risks to Saudi financial stability remain low, supported by strong bank capital and liquidity buffers, improving asset quality and prudent liquidity management. The IMF affirmed that the Saudi riyal’s peg to the U.S. dollar remains a credible monetary policy anchor and that the banking sector is positioned to support economic activity and withstand shocks. The assessment noted progress in implementing the 2024 Financial Sector Assessment Program recommendations, including stronger precautionary buffers, a crisis preparedness framework and the countercyclical capital buffer. It also endorsed continued monitoring of credit growth and asset quality, measures to address foreign currency funding risks, and work on resolution arrangements for systemically important institutions and emergency liquidity assistance. Supervisory efforts against money laundering and terrorist financing were also recognized, including sectoral risk assessments, thematic inspections and interagency work on the National Risk Assessment.
Saudi Arabian Monetary Authority2026-07-30
Saudi Central Bank highlights IMF finding of low systemic risks and progress on financial safeguards
The Saudi Central Bank highlighted the IMF’s assessment that systemic risks to Saudi financial stability remain low and that banks retain strong capital, liquidity and asset quality. The IMF also noted progress on precautionary buffers, crisis preparedness, resolution planning and measures to address foreign currency funding risks.