Al-Rajhi Bank

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Founded in 1957, Al Rajhi Bank is one of the largest banks in the world by market cap and the largest in the Middle East and Saudi Arabia, with total assets of SAR 658 billion (US$ 175 billion), a paid up capital of SAR 40 billion (US$ 10.66 billion) and an employee base of over 9,300+ associates. With over 60 years of experience in banking and trading activities, the various individual establishments under the Al Rajhi name were merged into the umbrella 'Al Rajhi trading and exchange corporation' in 1978 and it was in 1988 that the bank was established as a Saudi joint stock company under the name of Al Rajhi Banking and Investment Corporation which later in 2006 was named as Al Rajhi Bank. Deeply rooted in Islamic banking principles, the Sharia compliant banking group is instrumental in bridging the gap between modern financial demands and Sharia intrinsic values, whilst spearheading numerous industry standards and development.

With an established base in Riyadh, Saudi Arabia, Al Rajhi Bank has a vast network of over 517 branches, more than 4,844 ATM's, 373,046 POS terminals installed with merchants and the largest customer base of any bank in the Kingdom, in addition to 205 remittance centers across the kingdom. The first branch was opened in Aldirah in 1957.

Access the AL-RAJHI BANK Corporate web page at:

Investor Relations | Alrajhi Bank then download the annual report 2021 in PDF Form.

Use the annual report to answer the following questions.

Go to Report of Independent Registered Public Accounting Firm& answer the following questions. Read the report carefully.

-Are auditors responsible for frauds? Discuss the auditor responsibility for the detection of errors and frauds? Support your answer from the Annual report of Al-Rajhi Bank.

-What does the term material misstatement mean? Support your answer with an example from Annual report of Al-Rajhi Bank.

-Reliable accounting and financial reporting aid society in allocating resources in an efficient manner. Explain why audits are demanded by society? Support your answer from the Annual report of 2021 of Al-Rajhi Bank?

Write a summary on auditors report and evaluation about Al-Rajhi Bank performance, based on your understanding.

(10 marks)