Governor of SAMA holds press conference on latest economic,

SPA - He confirmed that the banking control auditing system is being
discussed internationally as an important aspect of the safety
situation in banks.

Liquidity is largely available in the Saudi banking market, he said,
citing an increase in competition to attract interests over the last
two weeks, leading to a dramatic increase in interest rates on
deposits. He said this prompted SAMA to pump additional liquidity
worth $3 billion while bank deposits in SAMA amounted to more than
SR25 billion.
The explanation for that arose from the strong demand for
borrowing , he said, adding that borrowing in the local market
increased 37 percent during the past nine months compared to 11
percent during the nine months of last year, demonstrating the
strength of domestic activity and investment.
He said that some investors who are used to borrow from foreign
markets have faced difficulties by the lack of global liquidity in
the financial markets, forcing them to demand liquidity from the
local market.
He categorically denied that there is shortage of liquidity
in Saudi banks or deterioration of its market.
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