Overview:
Saudi Arabia's economy displayed broad-based strength in late July, with retail transaction volumes reaching record levels and corporate earnings accelerating. The Saudi stock market closed higher at 10,858 points, supported by strong energy and healthcare sector performance. Oil prices recovered modestly amid ongoing geopolitical tensions affecting global supply routes, while central bank data showed personal lending rising 5 percent to 525.45 billion riyals.
Details:
Point-of-sale terminals processed 267.108 million transactions valued at 16.3 billion riyals between July 26 and August 1, 2026, according to the Saudi Central Bank's weekly report. This reflects sustained consumer spending momentum across the retail sector. The Saudi stock exchange gained 34.52 points, with total trading volume reaching 6 billion riyals across 297 million shares, indicating consistent investor confidence.
Saudi Aramco delivered exceptional second-quarter results, with net income reaching 121.51 billion riyals, representing a 41.9 percent year-on-year increase and exceeding analyst expectations. Operating revenues climbed to 450.77 billion riyals. The company declared cash dividends of 82.06 billion riyals to shareholders for the quarter, or 0.3393 riyal per share, with payment scheduled for August 27. Aramco executives highlighted that global oil flows through the Strait of Hormuz remain below normal levels, with the world losing more than 100 million barrels weekly during the ongoing closure. The company emphasized it maintains alternative export routes to sustain supply.
Saudi Electricity Company reported first-half 2026 results showing operating revenue growth of 10.5 percent and net profit gains of 7.5 percent to 6.7 billion riyals. Personal lending volumes increased 5 percent to 525.45 billion riyals, reflecting steady consumer credit demand. The General Authority for Real Estate announced opening registration for 167,352 property parcels across five regions.
Outlook:
Investors are monitoring whether oil market stabilization occurs as Aramco and geopolitical tensions persist. The pace of non-oil private sector momentum, which accelerated for a fourth consecutive month in July, will determine whether economic diversification gains are sustainable.