Riyadh Eyes $4bn Local Currency Bonds

The Saudi government is in talks with local banks with a view to selling SR20mn ($5.3bn) of local currency bonds, according to local financial website Maaal. The new issue will bring to SR75mn ($20bn) the total amount of bonds issued by Riyadh this year. Issues resumed in July for the first time since 2007 with the sale of SR15bn ($4bn) in bonds for the local market.

At the time Fahd al-Mubarak, Governor of the Saudi Arabian Monetary Fund (SAMA) said that he expects to borrow up to SR100bn ($27bn) from the local market by the end of 2015 to sustain the government’s elevated level of public spending (MEES, 17 July). (CONTINUED - 293 WORDS)