29/09/2020
Ikrami Abdullah from Riyadh
Saudi reserve assets abroad reached 1.7 trillion riyals at the end of last August, compared to 1.68 trillion riyals at the end of last July, up 1.2 percent, equivalent to 20.4 billion riyals.
According to the monitoring unit of the reports in Al-Eqtisadiah newspaper, based on the data of the Saudi Arabian Monetary Agency (SAMA), the value of Saudi reserve assets abroad at the end of last month is the highest since the outbreak of the Coronavirus, amounting to 1.775 trillion riyals last March.
The increase in reserve assets was supported by the rise in all items, reflecting the strength, flexibility, and speed of the Saudi economy in dealing with the crisis.
The total reserve assets of the Saudi Arabian Monetary Agency "SAMA" include gold, special drawing rights, reserves with the International Monetary Fund, foreign exchange, and deposits abroad, in addition to investments in securities abroad.
The main support came from the item "Investments in securities abroad", which rose 1.8 percent "18 billion riyals" to 1.021 trillion riyals last month, compared to 1.003 trillion riyals at the end of the previous month, which acquired 60 percent of foreign reserve assets by the end August.
On an annual basis, Saudi reserve assets abroad declined in August 10.7 percent, equivalent to 204.4 billion riyals, from 1.905 trillion riyals at the end of the same month of 2019.
And 40 billion dollars (150 billion riyals) were transferred from the reserves of the Saudi Arabian Monetary Agency (SAMA) to the Public Investment Fund, on an exceptional basis, during March and April, to support its movement to exploit opportunities in global markets.
In the details of the items of Saudi reserve assets abroad on a monthly basis, the item "foreign exchange and deposits abroad" increased by 0.3 percent "1.7 billion riyals", to reach 635 riyals at the end of last month, compared to 633.3 billion riyals at the end of the previous month.
Reserves with the IMF rose 1.7 percent to 201 million riyals, to 12.28 billion riyals at the end of last month, compared to 12.08 billion riyals at the end of the previous month.
The "Special Drawing Rights" rose 1.7 percent "507 million riyals", to reach 30.96 billion riyals by the end of last month, compared to about 30.45 billion riyals in the previous month.
While the balance of "reserves" in Saudi Arabia of gold stabilized at 1.62 billion riyals, which is the same level it has maintained since February 2008.
Saudi reserve assets abroad during 2019 rose 0.6 percent (11.05 billion riyals), to about 1.873 trillion riyals, compared to 1.862 trillion riyals by the end of 2018.
And it increased during 2019 at the highest pace in five years, that is, since it rose by 24.9 billion riyals in 2014, as reserve assets reached 2.721 trillion riyals by the end of 2013, then 2.746 trillion riyals in 2014.
The Saudi Arabian Monetary Agency (SAMA) confirmed, earlier, that the returns on investments in Saudi reserves abroad, which are managed by the corporation, are similar to their counterparts in international central banks.
Economic Reports Unit
