Saudi French Bank (BSF), one of the leading financial institutions in the Kingdom of Saudi Arabia, announced that its Board of Directors has recommended the distribution of generous cash dividends to the bank's shareholders for the second half of the 2025 fiscal year. This step reflects the great confidence in the bank's stable financial performance and its ability to achieve sustainable profits, which enhances its attractiveness as a leading investment option in the Saudi financial market.
Details of the proposed distributions
According to the official statement issued by the bank and published on the Saudi Stock Exchange (Tadawul) website, the total amount recommended for distribution is SAR 1.29 billion. This amount will be distributed across approximately 2.48 billion shares eligible for dividends. Accordingly, the dividend per share is SAR 0.52 after deducting zakat, representing a distribution rate of 5.2% of the share's nominal value. This recommendation received approval from the Saudi Central Bank (SAMA) on January 26, 2026, lending it regulatory weight and confirming the soundness of the bank's financial position.
Historical context and importance of the event
Established in 1977, Banque Saudi Fransi is a cornerstone of the Saudi banking sector. The bank has long been renowned for its consistent dividend payout policy, making it a preferred stock for investors seeking regular and stable returns. This recommendation underscores the continuity of this approach and demonstrates the bank's ability to adapt to economic changes and achieve robust growth. In line with the Kingdom's Vision 2030, which aims to diversify the economy and strengthen the role of the financial sector, major banks like Banque Saudi Fransi play a pivotal role in financing projects and supporting economic growth, and its dividend distributions are a testament to the success of this strategy.
Expected impact on the market and investors
This recommendation is expected to have a positive impact on the bank's share price, as it sends a strong message about the bank's excellent operational performance and robust liquidity. For shareholders, these profits represent a tangible return on their investment. More broadly, such announcements contribute to strengthening the confidence of local and international investors in the Saudi financial market as a whole, highlighting the strength and resilience of the Kingdom's banking sector as one of the most stable in the region.
Next steps
Dividend entitlement will be for shareholders who own shares at the close of trading on the second trading day following the date of the bank's General Assembly meeting, the date of which will be determined and announced later. The bank will also announce the dividend distribution start date after obtaining approval from the General Assembly on the Board of Directors' recommendation.
