تأثير البنوك التجارية على عرض النقود في المملكة العربية السعودية

Abstract EN

This research aims at displaying the effect of the commercial banks on the money supply in the Kingdom of Saudi Arabia for the period between January, 1997 to February, 2015 by analyzing the monthly data of the money supply (MS1-MS2), the total deposits (TD), and loans (BL) for 218 observations.

This will take place in the Kingdom of Saudi Arabia by using modular approach which is considered as a test of the modified unit root of Deki Fuller, the shared complementarity test of Johnson, and the error correction model.

The results show that there is long-run reason relation with two directions between MS1 And DD, and long-run balance relation from BL to MS2.

They show that the effect of the commercial banks on MS1 is more than its effect on MS2.

The money supply in the Kingdom of Saudi Arabia is influenced by the commercial banks in the Kingdom of Saudi Arabia.

That means Saudi Money agency is not the only controller of the money supply in the Kingdom of Saudi Arabia.