Saudi Arabia Completes Riyal-Denominated Sukuk Issuance for July
In a recent announcement, Saudi Arabia has successfully completed its riyal-denominated sukuk issuance for July, totaling SR3.21 billion ($855.7 million), as reported by the National Debt Management Center.
Continued Success in Sukuk Issuance
This latest issuance marks a continuation of Saudi Arabia’s successful streak in the sukuk market, with previous issuance levels exceeding SR3 billion in June, SR4.4 billion in May, SR7.39 billion in April, and SR4.4 billion in March.
Tranches Breakdown
The Shariah-compliant debt product issued in July was divided into five tranches, with varying maturity dates and values. The tranches ranged from SR612 million maturing in 2029 to SR226 million maturing in 2039.
Kingdom’s Sukuk Issuance Program
This sukuk issuance is part of Saudi Arabia’s Sukuk Issuance Program, which was initiated in 2017 with the goal of establishing an unlimited riyal-denominated sukuk initiative under the NDMC.
Saudi Arabia Leads in Sukuk Issuance
According to a report by Markaz, Saudi Arabia emerged as the leading player in sukuk issuance across the Gulf Cooperation Council region in the first half of 2024, raising $37 billion through 44 issuances.
Global Sukuk Market Outlook
S&P Global and Fitch Ratings both predict continued growth in the global sukuk market, with Saudi Arabia playing a key role in driving the market forward. Economic diversification efforts and the development of the debt capital market in the GCC region are expected to fuel this growth in the near future.