Sukuk Issuance: The National Debt Management Center announced the closure of the August 2024 Sukuk issue, totaling SAR 6.018 billion under the Saudi Arabian Government’s SAR-denominated Sukuk Program.
Tranche Details: The issuance was divided into five tranches with varying amounts and maturities: SAR 2.818 billion (2029), SAR 1.992 billion (2031), SAR 152 million (2034), SAR 415 million (2036), and SAR 642 million (2039).
Investment Strategy: This structured Sukuk issuance provides diverse investment opportunities, catering to both short-term and long-term investment horizons, reflecting the government's strategic debt management and capital raising efforts.
Riyadh, August 21, 2024
The National Debt Management Center (NDMC) has announced the successful closure of its latest Sukuk issuance under the Saudi Arabian Government's SAR-denominated Sukuk Program for August 2024. This issuance represents a significant financial event, with a total allocation amounting to SAR 6.018 billion.
The Sukuk issue was strategically structured into five distinct tranches to meet varying investor needs and maturity profiles:
First Tranche: The largest tranche, valued at SAR 2.818 billion, is set to mature in 2029. This tranche reflects a substantial commitment and long-term investment opportunity.
Second Tranche: Worth SAR 1.992 billion, this tranche is scheduled to mature in 2031, providing investors with a mid-term investment horizon.
Third Tranche: This tranche, amounting to SAR 152 million, has a maturity date set for 2034, catering to investors looking for slightly longer-term returns.
Fourth Tranche: Valued at SAR 415 million, this tranche will mature in 2036, offering a balanced approach for investors interested in medium to long-term investments.
Fifth Tranche: The final tranche, worth SAR 642 million, is structured to mature in 2039, appealing to those with a longer investment timeline.
This structured issuance underscores the Saudi Arabian Government's commitment to managing its debt portfolio effectively while providing investors with a range of options to match their investment strategies. The Sukuk program continues to be a vital instrument in the country's financial management and investment landscape, reflecting a robust approach to capital raising and fiscal planning.