Saudi Arabia Macroeconomic Developments
- Saudi Arabia PMI held steady at 55.7 points in May, indicating continued expansion of the non-oil private sector economy. Output and new orders grew as customer demand held up well to higher prices. Costs continued to rise amid higher fuel and input goods prices. New business rose at a slightly faster pace with nearly a third of respondents noting an increase in sales.
- Saudi Arabia’s reserve assets totaled SAR1.69 trillion ($452 billion) at the end of April, rising 0.1 percent MoM (+2.5 percent YoY). Compared to last month, the Kingdom lowered its holdings of foreign securities (-0.8 percent) and special drawing rights (-2.8 percent) while raising foreign currency holdings (+2.4 percent) and IMF reserves (+1 percent).
- Private sector bank claims rose 0.9 percent MoM (+14.2 percent YoY) in April to reach SAR2.15 trillion ($574 billion), according to SAMA data. The central bank recently extended its Guaranteed Financing program for SMEs through March 2023.