RIYADH – Saudi Arabia is planning to issue billions of dollars in bonds based on Islamic law (also known as sukuk) to boost the domestic market.
Saudi Arabia has bought back $9.52 billion of existing debt, in debt instruments that will mature in 2024, 2025 and 2026, the National Debt Management Center (NDMC) announced this Sunday.
The government of Saudi Arabia plans to issue $9.57 billion worth of sukuk under the Local Saudi Sukuk Issuance Program, Bloomberg reported.
The Shariah Bond Program will consist of four tranches, with issues maturing in 2031, 2032, 2033 and 2038.
The move is part of the National Debt Management Center’s plan to boost the domestic market.
The financial transaction will further support NDMC’s plan to strengthen public finances in the medium and long term.
HSBC Saudi Arabia, Al-Rajhi Capital, SNB Capital and Al-Jazira Capital were appointed as joint lead managers for the deal.