RIYADH: Saudi Arabia’s asset management industry is on track to surpass $400 billion by 2026, cementing the Kingdom’s position as the largest in the Gulf Cooperation Council, according to a new report.
Fitch Ratings said Islamic funds are expected to remain dominant, though the industry remains exposed to oil price sensitivity, as well as local, regional, and global market volatility and geopolitical risks.
Despite market turbulence — with Tadawul’s equity market capitalization down around 13 percent year on year by the end of August — the sector continues to be supported by strong fundamentals.
The growth reflects a broader regional trend, with total GCC assets rising 9 percent to $2.2 trillion by the end of 2024, according to a report released last month by Boston Consulting Group.
Bashar Al-Natoor, global head of Islamic Finance at Fitch Ratings, said: “Saudi Arabia’s AMI is on a steady growth path, supported by ongoing reforms and deeper local capital markets.”
