The National Debt Management Center (NDMC) of Saudi Arabia has recently completed its January 2024 Sukuk issuance under the local currency-denominated Saudi Arabian Government Sukuk Program. The issuance culminated in the allocation of SAR 8.825 billion (eight billion and eight hundred and twenty-five million Saudi Riyals), confirming the continuous development in the Kingdom’s Islamic finance sector.
The recently concluded Sukuk offering was organized into three distinct tranches, each with varying maturity dates, to cater to the diverse investment strategies of participants. The first tranche amounted to SAR 3.656 billion (three billion and six hundred and fifty-six million Saudi Riyals) with a maturity set for 2029. Following this, the second tranche was valued at SAR 2.822 billion (two billion and eight hundred and twenty-two million Saudi Riyals), with a longer-term maturity date of 2034. Lastly, the third tranche was issued at SAR 2.347 billion (two billion and three hundred and forty-seven million Saudi Riyals) and is due to mature in 2039.
This strategic financial move showcases Saudi Arabia’s commitment to expanding its Islamic financing options and provides a clear signal of the strength and resilience of the Kingdom’s financial markets. It also reflects the government’s adept management of its debt portfolio, ensuring a balanced budget and a stable economy for the future.