RIYADH: Saudi Arabia’s National Debt Management Center has raised SR5.83 billion ($1.55 billion) through its latest sukuk issuance, maintaining monthly offerings above the $1 billion mark. 

The November total represents a 22.7 percent decline from October, when the Kingdom raised SR7.54 billion. Saudi Arabia issued SR8.03 billion in September and SR5.31 billion in August, extending a trend of strong activity in the domestic debt market.  

Sukuk are Shariah-compliant financial instruments similar to bonds, granting investors a share of an issuer’s underlying assets and adhering to Islamic finance principles that prohibit interest-based transactions. 

According to NDMC, the November issuance was divided into five tranches. The first tranche was valued at SR700 million and is set to mature in 2027. The second amounted to SR1.37 billion, maturing in 2029, while the third tranche, worth SR180 million, will expire in 2032.  

The fourth portion, valued at SR197 million, is due in 2036, while the last tranche due in 2039 was valued at SR3.38 billion. 

Saudi Arabia’s debt market has expanded rapidly in recent years, with fixed-income instruments drawing increased attention as rising global interest rates reshape investor demand. 

This comes as the Gulf Cooperation Council sukuk outstanding climbed 12.7 percent to $1.1 trillion by the end of the third quarter of 2025, according to a recent Fitch Ratings report. 

The US-based credit rating agency said debt capital market activity in the GCC is expected to remain strong into 2026, supported by a healthy pipeline of anticipated issuances.      

The report noted that sukuk issuances increased 22 percent year on year in the first nine months of this year, accounting for 40 percent of total GCC DCM outstanding. Sukuk also outpaced bond growth, which expanded 7.2 percent year on year.