Riyadh – Mubasher: Saudi Arabian banks' non-performing loans (NPL) increased by 1.45% during the full-year 2017.

Non-performing loans edged up to 15.5% last year, compared to a year earlier, according to Albilad Capital's recent report issued on Thursday.

Credit provisions rose 4.7% during 2017 on the back of the increase in impairment charge for credit losses of the corporate sector by 18.5%, the report found.

Deposits slashed slightly by 0.7% to SAR 1,663 billion in 2017, the research firm said, noting that corporate and personal deposits continue to dominate around 78% of total deposits.

The loans to deposits ratio slipped to 82.4% versus 82.8% in the year before, Albilad Capital said.

The net loans of the Saudi banking sector recorded SAR 1.378 billion during the year ended 31 December 2017.

Of note, the coverage ratio declined 162% in 2017, versus 178% in the prior year.