SAMA: New System Seeks to Expand Banking Activities

Saudi Central Bank (Asharq Al-Awsat)
Saudi Central Bank (Asharq Al-Awsat)
TT
20

SAMA: New System Seeks to Expand Banking Activities

Saudi Central Bank (Asharq Al-Awsat)
Saudi Central Bank (Asharq Al-Awsat)

The Saudi Central Bank (SAMA) said that it expected the new project to regulate the banking system in the country to expand the definition of banking business, include the granting of credits, and specify accurately the system objectives and scope.

In a statement on Thursday, SAMA said that one of the most important elements of the project was to strengthen the regulatory framework for the Deposit Protection Fund to protect depositors and contribute to financial stability.

The project also seeks to enhance the regulatory framework for banking secrecy in the Kingdom by following the confidentiality model as a general rule, with a variety of limited exceptional cases.

SAMA noted that the banking system project was put forward to keep abreast with developments and to ensure the continued stability and growth of the sector, stimulate investments, and contribute to financial stability in the Kingdom, in addition to strengthening the protection of depositors and customers.

The Central Bank added that it was seeking public feedback on the draft Banking Law, which aims to provide stability and growth in the sector.

It invited the public and stakeholders to share their views and comments on the draft law through National Competitiveness Center’s public consultation platform within 30 working days, SAMA statement read.

It added that the draft law was expected to continue regulating the banking sector as effectively as the current Banking Control Law.

Fahad Almubarak, governor of SAMA, explained in a statement that SAMA has worked on a set of initiatives during the last period, including the launching of the financial technology strategy after its approval by the Council of Ministers. The strategy seeks to make the Kingdom one of leaders in the field of financial technology and innovation.



China’s Car Sales Rise in May, but Price Wars Cloud Outlook

 Amukelani Masungi, a worker, cleans the floor next to BYD vehicles on display at a BYD dealership in Sandton, South Africa, June 5, 2025. (Reuters)
Amukelani Masungi, a worker, cleans the floor next to BYD vehicles on display at a BYD dealership in Sandton, South Africa, June 5, 2025. (Reuters)
TT
20

China’s Car Sales Rise in May, but Price Wars Cloud Outlook

 Amukelani Masungi, a worker, cleans the floor next to BYD vehicles on display at a BYD dealership in Sandton, South Africa, June 5, 2025. (Reuters)
Amukelani Masungi, a worker, cleans the floor next to BYD vehicles on display at a BYD dealership in Sandton, South Africa, June 5, 2025. (Reuters)

China's car sales rose for a fourth consecutive month in May, but slower increases across major automakers highlighted concerns over aggressive price competition in the world’s largest auto market.

Sales grew 13.9% from a year earlier to 1.96 million vehicles last month, slowing from 14.8% growth in April, China Passenger Car Association (CPCA) data showed on Monday.

Sales of electric vehicles and hybrids rose 28.2% year on year, down from a 33.9% gain in April.

Leading EV maker BYD reported decelerating annual passenger vehicle sales growth to 14.1% last month from April's 19.4% despite a new round of subsidies and incentives late in the month.

Other major automakers, including Geely and Chery, also reported slower growth as the industry’s attention shifted to price wars that have raised concern over a potential market shakeout.

Authorities have warned that such price wars threaten the industry's long-term health, with the sentiments echoed by leading manufacturers such as BYD, Chery and Xiaomi.

The CPCA's secretary-general, Cui Dongshu, said the industry should focus on quality and technology innovation and that leading automakers should lower their sales targets for this year.

CPCA data also showed that car exports rebounded, rising 13.5% year on year in May, reversing a 2% decline in April.