Saudi Arabia leads Forbes’ “30 Most Valuable Banks 2025” with 10 banks valued at $269 billion. The MENA banking sector is predicted to grow, supported by favorable economic conditions and infrastructure projects. Al-Rajhi Bank ranks as the region’s most valuable bank, followed by Saudi National Bank and First Abu Dhabi Bank.
Forbes’ “30 Most Valuable Banks 2025” prominently features Saudi Arabia, which boasts ten banks with a combined market capitalization of $269 billion. This amount constitutes nearly one-third of the overall market value of $600.8 billion for all banks listed. Following Saudi Arabia, the United Arab Emirates secured seven entries valued at $153.4 billion, while Qatar contributed six banks worth $76.7 billion. Morocco and Kuwait had three and two banks listed, respectively, valued at $23.7 billion and $68.4 billion.
The banking sector in the Middle East and North Africa (MENA) is showing resilience and is anticipated to experience substantial growth in 2025. Key drivers include economic diversification initiatives, favorable financial conditions, and a predicted 3.5 percent economic expansion bolstered by infrastructure projects. A report by Ernst & Young corroborates this optimistic outlook for the region’s banking sector.
In the announcement of its rankings, Forbes stated, “This year’s list features banks from seven countries, with 26 entries being Gulf-based. Saudi Arabia represents a third of the list with 10 entries, with an aggregate market value of $269 billion.” The overall market value of the banks increased by 3.4 percent from $581.1 billion in February 2024 to $600.8 billion as of January 31, 2025.
Al-Rajhi Bank maintains its standing as the most valuable bank in the region, leading with a capitalization of $105.6 billion, which accounts for 17.6 percent of the total market value of the listed banks. It is followed by the Saudi National Bank at $54.7 billion and the UAE’s First Abu Dhabi Bank at $43.7 billion. The ranking further includes QNB Group from Qatar and Kuwait Finance House, valued at $41.2 billion and $38.3 billion, respectively.
The stability of the MENA banking sector is evident, thanks to favorable conditions such as increased interest rates and strong oil prices. A Fitch Ratings report indicates that liquidity levels, profitability, and strong capital reserves have been sustained in most Gulf Cooperation Council banks. Forbes Middle East compiled this ranking based on the reported market values of publicly listed banks in the Arab world as of January 31, 2025, excluding subsidiaries and utilizing consistent currency exchange rates.
In summary, Saudi Arabia’s banking sector significantly leads the MENA region, showcasing ten of the forty banks in Forbes’ “30 Most Valuable Banks 2025” list. Al-Rajhi Bank stands as the foremost institution with a notable market capitalization. The region’s banking landscape is expected to thrive, driven by economic factors, marking a positive outlook for the financial industry ahead.
Original Source: www.arabnews.pk
