The Banking Executive Magazine - September 2025 Issue

GCC Commercial Banks GCC Commercial Banks' Assets JUMP 10% TO 3.5TRLN Loans granted to the private sector accounted for about 80.7 percent of total loans across the GCC The total assets of commercial banks operating in the Gulf Cooperation Council (GCC) countries increased by 10 percent by the end of 2024 reaching around $3.5 trillion, com- pared to the assets recorded at the end of 2023, according to the latest statistics released by the Statistical Centre for the Cooperation Council for the Arab Countries of the Gulf (GCC-Stat). Statistics indicated that the total de- posits at commercial banks operating in the GCC reached around $2.1 tril- lion by the end of 2024, marking an increase of 9.6 percent compared to their value recorded at the end of 2023. They also revealed that de- posits at commercial banks operating across all GCC countries increased by the end of 2024 compared to the deposits recorded in 2023, said a Wam news agency report. Likewise, the total balance of loans provided by commercial banks oper- ating in the GCC countries reached approximately $2.1 trillion by the end of 2024, reflecting an increase of 9.9 percent compared to 2023. Loans granted to the private sector accounted for about 80.7 percent of total loans across the GCC Countries. The ratio of non-performing loans to total loans declined in most GCC countries during the period 2020- 2024, although it varied from one country to another. Similarly, the loan-to-deposit ratio varied significantly across GCC countries, ranging between 125 per- cent and 66 percent. Meanwhile, capital adequacy ratios in GCC countries continued to re- main well above the Basel III regula- tory minimum, ranging between 32 percent and 17.8 percent in 2024. According to Basel III requirements, the minimum regulatory capital ade- quacy ratio that banks must maintain is 8 percent. The net profits of commercial banks operating in the GCC countries have also witnessed significant growth over the past four years, surpassing pre-COVID-19 pandemic levels, it said. the BANKING EXECUTIVE 38 ISSUE 201 SEPTEMBER 2025