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Saudi Islamic banking share hits 76 percent as UAE targets over $697 billion by 2031 amid Gulf resilience

Newsroom by Newsroom
July 23, 2026
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Gulf Islamic banks remain resilient as stable deposits and capital buffers offset slower growth and regional disruption 

Islamic banking continues to expand across the Gulf Cooperation Council, although growth prospects vary considerably as regional conflict, funding constraints, real estate exposure and market maturity shape the outlook in each country.

A series of country assessments by S&P Global Ratings showed that Saudi Arabia remains the region’s dominant Islamic banking market, with Sharia-compliant assets representing about 76…

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