Saudi Arabia enjoys financial strength despite current challenges - Finance Min.

RIYADH, Oct 25 (KUNA) -- Saudi Arabia is facing domestic, economic, financial and global challenges while enjoying a position of strength, whether at the financial or cash levels, Saudi Finance Minister Ibrahim Al-Assaf said Tuesday.
Patronizing the financial stability seminar organized by the Saudi Arabian Monetary Agency and the Capital Market Authority earlier today in Riyadh, Al-Assaf delivered a speech in which he said that the seminar comes at the right time as "the Kingdom of Saudi Arabia has launched its vision 2030 a few months ago and began the implementation of the national transformation program.
"I have no doubt that we all agree on the paramount importance of the role of the financial sector and its stability and the multiplicity of its sources in the realization of the vision." According to Saudi Press Agency, Al-Assaf said "It has been more than two years since the sharp drop in oil prices - the main source of income for finance of the Kingdom and the important component of its national economy - but despite, we have been able to maintain a good position in public finances, as we have been able to maintain the stability of government reserves as they are still high.
"The level of debt remains low. Our banks are still enjoying strong balance sheets and indicators of solid financial safety and will continue to do so." The minister reviewed issues concerning the financial system in the Kingdom, noting that "the financial institutions maintain their flexibility, as our banks enjoy relatively high levels of capital adequacy and liquidity ratios, despite some pressure on liquidity at the system level in general." However, this does not mean accepting the situation, but continue to periodically review policies relating to financial stability and modernize the inefficient ones, and action will enable adapting to the current domestic and global challenges, he said.
Furthermore, he pointed out that the Kingdom is enjoying a good number of specialized government financing institutions and that the government benefited from the financial savings years ago and stepped up those funds and programs, which enabled them to continue to play an important role in the financing system for the private sector, in addition to the fact that some of these funds benefited from its available liquidity to invest in public debt instruments and others. (end) od.hb