The Saudi Central Bank (SAMA) injected about 50 billion riyals in the form of long-term deposits with commercial banks.

According to press sources, the move aims to boost the liquidity of the banking sector, at a time when the Saudi Interbank Offered Rate or “SIBOR” has recorded strong rises since the start of the US interest rate hike. SAMA provided this liquidity to banks at a discount from the SIBOR rate for three months.

The funding from the central bank came in three separate tranches so far, with the first two tranches worth 15 billion riyals each, while the third tranche took place a few days ago.