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Saudi National Bank Celebrates Largest Bank Merger

With assets exceeding 900 billion riyals and capital amounting to 44 billion riyals, the new entity is believed to be the Kingdom’s largest bank
With assets exceeding 900 billion riyals and capital amounting to 44 billion riyals, the new entity is believed to be the Kingdom’s largest bank
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Saudi National Bank Celebrates Largest Bank Merger

With assets exceeding 900 billion riyals and capital amounting to 44 billion riyals, the new entity is believed to be the Kingdom’s largest bank
With assets exceeding 900 billion riyals and capital amounting to 44 billion riyals, the new entity is believed to be the Kingdom’s largest bank

The National Commercial Bank, or NCB, concluded the final phases of a merger deal with Riyadh-based Samba Financial Group on Jan. 6, 2022, to form the Saudi National Bank.

With assets exceeding 900 billion riyals ($240 billion) and capital amounting to 44 billion riyals ($11.7 billion), the new entity is believed to be the Kingdom’s largest bank.

SNB concluded the last phase of the transaction in a record time, within nine months since the process started on April 1, 2021.

The bank has opened more than 1.4 million new accounts for individual customers, which is 100 percent of the total individual customers.

As for corporate customers, the bank opened accounts for more than 11,000 customers, making up 100 percent of small and midsized corporate customers.

It also completed opening and activating 100 percent of the large corporate customer accounts.

Moreover, SNB completed the procedures for migrating the treasury sector, NCB Capital, Samba Capital, and other administrative sectors and branches.

SNB Chairman Ammar AlKhudairy stated that reaching the finish line of the merger agenda paves the way for a new stage of work and a promising future for the Saudi banking industry.

He added that the new entity - backed by a market share of 31 percent and its real wealth of 12,000 employees in Saudi Arabia and more than 4,000 employees in its subsidiaries - will support social prosperity and economic transformation in Saudi Arabia.

It will also contribute to empowering citizens and national businesses and enhancing their growth opportunities, in line with the objectives of Saudi Vision 2030, according to AlKhudairy.

Saeed bin Mohammed AlGhamdi, managing director and Group CEO of SNB, said that the merger – with its many phases, milestones, and complex requirements – wouldn’t have taken place with such excellence, accuracy, speed, and flexibility had it not been for the unique cooperation of all parties, including shareholders, executive, administrative, technical and logistical teams, as well as the positive engagement of the Bank’s customers and their responsiveness to the Bank’s directives and instructions.

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Firm Dollar Keeps Pound, Euro and Yen Under Pressure

US Dollar and Euro banknotes are seen in this illustration taken July 17, 2022. REUTERS/Dado Ruvic/Illustration/ File Photo
US Dollar and Euro banknotes are seen in this illustration taken July 17, 2022. REUTERS/Dado Ruvic/Illustration/ File Photo
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Firm Dollar Keeps Pound, Euro and Yen Under Pressure

US Dollar and Euro banknotes are seen in this illustration taken July 17, 2022. REUTERS/Dado Ruvic/Illustration/ File Photo
US Dollar and Euro banknotes are seen in this illustration taken July 17, 2022. REUTERS/Dado Ruvic/Illustration/ File Photo

The US dollar charged ahead on Thursday, underpinned by rising Treasury yields, putting the yen, sterling and euro under pressure near multi-month lows amid the shifting threat of tariffs.

The focus for markets in 2025 has been on US President-elect Donald Trump's agenda as he steps back into the White House on Jan. 20, with analysts expecting his policies to both bolster growth and add to price pressures, according to Reuters.

CNN on Wednesday reported that Trump is considering declaring a national economic emergency to provide legal justification for a series of universal tariffs on allies and adversaries. On Monday, the Washington Post said Trump was looking at more nuanced tariffs, which he later denied.

Concerns that policies introduced by the Trump administration could reignite inflation has led bond yields higher, with the yield on the benchmark 10-year US Treasury note hitting 4.73% on Wednesday, its highest since April 25. It was at 4.6709% on Thursday.

"Trump's shifting narrative on tariffs has undoubtedly had an effect on USD. It seems this capriciousness is something markets will have to adapt to over the coming four years," said Kieran Williams, head of Asia FX at InTouch Capital Markets.

The bond market selloff has left the dollar standing tall and casting a shadow on the currency market.

Among the most affected was the pound, which was headed for its biggest three-day drop in nearly two years.

Sterling slid to $1.2239 on Thursday, its weakest since November 2023, even as British government bond yields hit multi-year highs.

Ordinarily, higher gilt yields would support the pound, but not in this case.

The sell-off in UK government bond markets resumed on Thursday, with 10-year and 30-year gilt yields jumping again in early trading, as confidence in Britain's fiscal outlook deteriorates.

"Such a simultaneous sell-off in currency and bonds is rather unusual for a G10 country," said Michael Pfister, FX analyst at Commerzbank.

"It seems to be the culmination of a development that began several months ago. The new Labour government's approval ratings are at record lows just a few months after the election, and business and consumer sentiment is severely depressed."

Sterling was last down about 0.69% at $1.2282.

The euro also eased, albeit less than the pound, to $1.0302, lurking close to the two-year low it hit last week as investors remain worried the single currency may fall to the key $1 mark this year due to tariff uncertainties.

The yen hovered near the key 160 per dollar mark that led to Tokyo intervening in the market last July, after it touched a near six-month low of 158.55 on Wednesday.

Though it strengthened a bit on the day and was last at 158.15 per dollar. That all left the dollar index, which measures the US currency against six other units, up 0.15% and at 109.18, just shy of the two-year high it touched last week.

Also in the mix were the Federal Reserve minutes of its December meeting, released on Wednesday, which showed the central bank flagged new inflation concerns and officials saw a rising risk the incoming administration's plans may slow economic growth and raise unemployment.

With US markets closed on Thursday, the spotlight will be on Friday's payrolls report as investors parse through data to gauge when the Fed will next cut rates.