Saudi Arabia raises $1.34bn through July sukuk issuance
In June, the Kingdom issued sukuk worth SR2.35 billion, while May and April saw issuances of SR4.08 billion and SR3.71 billion, respectively.
Sukuk are Shariah-compliant financial instruments that offer investors partial ownership in an issuer's underlying assets, making them a popular alternative to conventional bonds.
According to NDMC, the July issuance was divided into four tranches. The first tranche, valued at SR776 million, will mature in 2029. The second, worth SR1.34 billion, is set to mature in 2032, followed by a third tranche of SR823 million due in 2036. The largest tranche, totaling SR2.08 billion, will mature in 2039.
Saudi Arabia's debt market has witnessed robust growth in recent years, attracting strong investor interest in fixed-income instruments amid a global environment of rising interest rates.
In April, Kuwait Financial Center, also known as Markaz, reported that Saudi Arabia led the Gulf Cooperation Council in primary debt issuances during the first quarter of the year. The Kingdom raised $31.01 billion from 41 offerings, accounting for over 60 percent of total issuances across the region.
Credit rating agency S&P Global noted in April that Saudi Arabia's expanding non-oil sector and steady sukuk issuance volumes are likely to support the growth of the global Islamic finance industry.
The agency forecasts global sukuk issuance to reach between $190 billion and $200 billion in 2025, with foreign currency-denominated offerings contributing up to $80 billion, assuming market conditions remain stable.
Echoing that outlook, a report by Kamco Invest published in December said Saudi Arabia is expected to account for the largest share of bond maturities in the GCC between 2025 and 2029, with $168 billion set to mature during the period.
Earlier this month, S&P Global reiterated its positive view, stating that the global sukuk market is on track to maintain its momentum in 2025, with foreign currency-denominated issuances projected to reach between $70 billion and $80 billion.
Hashtags
Try Our AI Features
Explore what Daily8 AI can do for you:
Comments
No comments yet...
Related Articles
Arab News
2 hours ago
- Arab News
Amazon Prime Day unveils unmissable deals & savings
Amazon has announced seven days of savings for Prime members in Saudi Arabia from July 25 to 31. The Prime Day deals include top local and international brands across more than 30 categories including everyday essentials, school must-haves, electronics, fashion, beauty, kitchen, home, toys, and Amazon Devices. Abdo Chlala, country manager, Amazon Saudi Arabia, said: 'We're proud to bring back the biggest celebration of Prime membership, offering even more value for our customers across the Kingdom. This year, we are extending Prime Day to seven days, giving members in Saudi Arabia more time to discover and shop thousands of deals. Prime Day is more than just a sale — it's a celebration of exceptional savings, fast and free delivery options, and access to products our members love. As one of the most anticipated moments for our customers in Saudi Arabia, we continue to evolve the Prime experience based on their needs. With exciting offers dropping throughout the event, we're delivering a Prime Day that brings selection, value, and convenience right to their doorstep.' During Prime Day, members can shop thousands of deals across popular local and international brands including Adidas, Anker, Babyjoy, Bellababy, Coach, Coslus, Dyson, Eucerin, Garmin, Guess, JW PEI, Lego, Levoit, Nivea, Philips, PlayStation, Roborock, Shell, Skechers, Sony, TCL, Tefal, and Ugreen, as well as support local small and medium-sized businesses. Prime members will also have access to deals from Amazon US, UK and Germany via the Global Store with free international delivery on eligible products. Members should keep an eye out throughout the seven-day sale event, as deals will keep dropping during various periods of Prime Day. Additional instant discounts will also be available from select banks, ensuring members can maximize their savings at every turn. For the first time, this year's Prime Day will also feature exclusive savings for Prime members across the newly launched Amazon Bazaar in-app shopping experience, making trendy fashion, home, and lifestyle finds even more affordable.
Arab News
2 hours ago
- Arab News
Madinah mayor to present SDG progress at UN
MADINAH: Madinah Region Development Authority is participating in the UN High-Level Political Forum on Sustainable Development in New York under the theme 'Advancing sustainable, inclusive, science- and evidence-based solutions for the 2030 Agenda and its SDGs.' The forum, running until July 23, brings together UN member states to review progress on the 2030 Sustainable Development Goals, the Saudi Press Agency reported. The authority's participation is part of the Kingdom's delegation, led by Minister of Economy and Planning Faisal Alibrahim. This year's participation reflects the Kingdom's alignment of Vision 2030 principles with the global SDGs framework and highlights Madinah's role in localizing the SDGs and adopting the Quality of Life Index initiative. Fahad Albulihshi, Madinah mayor and CEO of the authority, will deliver the Kingdom's address at the Local and Regional Governments Forum during the UN event. His speech will focus on Madinah's role in localizing SDGs and the Kingdom's commitment to advancing SDG efforts at the local level, aligned with Vision 2030 goals. On the sidelines, the mayor will hold bilateral meetings with representatives of local and regional governments to discuss cooperation on the UN 2030 Agenda. Discussions will also address governance, inclusive services, and local investment in supporting SDG progress regionally.
Arab News
3 hours ago
- Arab News
Saudi ministry launches initiatives to build sustainable skills ecosystem
RIYADH: The Ministry of Human Resources and Social Development marked World Youth Skills Day on July 15, highlighting the Kingdom's commitment to a skill-based labor market that enhances productivity and competitiveness. To mark the occasion, the ministry launched Skills Week, running until July 19. It is led by the newly established Skills and Training Deputyship in cooperation with public and private sector partners. The scheme aims to align education and training programs with labor market needs through several projects, including the Waad training initiative. Waad addresses gaps between education outcomes and market demands, preparing Saudi youth to compete locally and internationally. In its first phase, the initiative exceeded its targets by delivering 129 percent of planned training opportunities through 14 private companies. Its second phase aims to offer 3 million training opportunities by 2028, supported by more than 65 public and private sector partners. The ministry also introduced the Sector Skills Framework tool, which maps more than 8,500 technical skills across 12 key sectors. The tool serves as a strategic guide for developing sector-specific training programs, supported by 13 councils comprising more than 200 experts. Other initiatives highlighted during Skills Week include the launch of the Saudi Skills Classification Taxonomy to define required skills for each profession, and the release of Skills Survey findings conducted with the World Bank on more than 3,000 firms to identify workforce skill gaps. The ministry also launched Waad Club, a volunteer platform promoting mentoring and knowledge exchange. Ahmed Al-Zahrani, deputy minister for skills and training, said: 'Organizing Skills Week reflects our deep commitment to the goals of the ministry. This effort supports all groups across our labor market. 'We are building a sustainable skills ecosystem integrated with education and training, preparing a young generation ready to drive Saudi Arabia's transformation and compete globally, in line with Vision 2030.' All of the initiatives operate within the framework of Saudi Arabia's Labor Market Strategy, approved by the Council of Ministers in 2020. The strategy addresses labor market challenges and Vision 2030 goals, aiming to increase labor participation, improve market efficiency and productivity, and reduce unemployment. As a result, labor productivity rose by 4.9 percent in 2022, the highest growth among G20 economies. The ministry also leads the national skills agenda through the National Skills Strategy, which serves as the Kingdom's skills policy to guide planning, development, recognition and management. It aims to bridge the gap between supply and demand, enhance employability across all segments and promote lifelong learning. Reinforcing this commitment, the ministry launched the Skill Accelerator Program to upskill and reskill more than 300,000 Saudis by 2027. The program focuses on the top seven sectors driving gross domestic product growth and employment, offering more than 3,000 training programs nationwide in partnership with local and international providers. Through the Professional Verification Program, Saudi Arabia ensures that skilled workers from more than 169 countries, covering more than 1,000 professions, meet rigorous standards, strengthening labor market quality. The Kingdom is also reforming its education system through the Human Capability Development Program, spanning nursery to university and lifelong learning, to build a resilient educational foundation aligned with future labor demands.
