Money in circulation (i.e., outside Saudi Arabia’s banking system) amounted to SAR175 billion in September, up by 10.8 per cent compared with the same month in 2014.
The Kingdom’s money supply (M3) expanded by 8.5 per cent to a total of SAR1.82bn in September this year, according to a report by Al Riyadh daily.
Money in circulation makes up 9.6 per cent of the country’s money supply (M3), the highest when compared with fellow members of the Gulf Cooperation Council.
In Qatar, money circulation comprises only 1.8 per cent of its money supply (M3), while in Kuwait the ratio stood at 3.9 per cent; 4.3 per cent in the United Arab Emirates; 4.5 per cent in Bahrain and 8.5 per cent in Oman.
The rise in the value of money in circulation is evidence of the Kingdom’s strong economy and financial status.
In August, circulated money in Saudi Arabia totalled $45.9bn, while in the United Arab Emirates, it stood at $15.6bn; Kuwait (roughly $4bn); Oman ($3.2bn), Qatar ($2.9bn) and $1.4bn in Bahrain.
(SAR1 = AED0.979, at the time of publishing)