Completion of an international bond offering worth $12 billion
The National Debt Management Center noted the completion of receiving investor requests for the international issuance of bonds within the Kingdom of Saudi Arabia’s international government bond program.
Volume of subscription requests
The total volume of subscription applications reached approximately 37 billion dollars, as the coverage ratio exceeded three times the total issuance, which amounted to 12 billion dollars (equivalent to 45 billion riyals) divided into three tranches. The first tranche amounted to 5 billion dollars (equivalent to 18.75 billion riyals) for bonds. Its duration is 3 years, due in 2028 AD.
The second tranche amounted to $3 billion (equivalent to 11.25 billion riyals) for 6-year bonds maturing in 2031 AD, and the third tranche amounted to $4 billion (equivalent to 15 billion riyals) for 10-year bonds maturing in 2035 AD.
This step is part of the National Debt Management Center’s strategy to expand the investor base for the purpose of meeting the Kingdom’s financing needs from global debt markets efficiently and effectively.
The volume of demand by international investors for government debt instruments demonstrates their confidence in the strength of the Saudi economy and the future of investment opportunities in it.
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