Saudi Arabia’s M3 Money Supply Increases by 4.74% Since December End

According to data released by the Saudi Central Bank, also known as SAMA, Saudi Arabia’s M3 money supply has increased by 4.74 percent since December 2022. The M3 money supply reached SR2.61 billion ($696 billion) in the week ending May 11, up from SR2.50 billion on Dec. 31. Central banks use M3 money supply figures to direct monetary policy, controlling inflation, consumption, growth, and liquidity over medium- and long-term periods. The M2 money supply recorded a 3.87 percent rise compared to Dec. 31 and a 0.27 percent weekly increase. The M1 money supply jumped 0.91 percent from the end of December 2022, but fell 0.07 percent against the preceding week. The M1 money supply is composed of currency, demand deposits, and other liquid deposits that can be quickly converted to cash.