Saudi Arabia’s Banque Saudi Fransi has announced second-quarter profit of SR773 ($206m), up 2.1 per cent on the same period of 2010.

Customer deposits rose by 8.4 per cent year-on-year, while loans rose at a much slower pace of just 3.7 per cent, according to the figures released by the bank. Analysts at local investment bank NCB Capital, said the figures showed a 1.6 per cent growth in net interest income and net interest margins fell by 8 basis points, as downward pressure on loan pricing continued.

Total operating income rose by 0.7 per cent to SR1.163bn.