RIYADH: Saudi Arabia raised $13 billion through a seven-year syndicated loan as the Kingdom steps up funding for infrastructure projects spanning power, water and public utilities.
The financing was arranged by the National Debt Management Center as part of the government’s medium-term borrowing strategy, which aims to diversify funding sources and secure financing at competitive costs, the agency said in a statement.
The transaction supports Saudi Arabia’s broader push to upgrade infrastructure under its Vision 2030 economic transformation program, as the government accelerates investment in utilities and development projects alongside private-sector participation.
“This transaction aims to leverage market opportunities to execute alternative government financing activities that contribute to economic growth, including the financing of development and infrastructure projects aligned with Saudi Vision 2030,” said NDMC.
NDMC was established in 2015 within the Ministry of Finance as the Debt Management Office before being restructured into its current form, with a mandate to manage public debt and meet the government’s financing needs across short-, medium- and long-term horizons.
The syndicated loan follows a series of recent debt market transactions. In December, the center raised SR7.01 billion ($1.87 billion) through a domestic sukuk issuance split across five tranches, with the first one valued at SR1.23 billion set to mature in 2027.
The second tranche amounted to SR335 million, maturing in 2029.
The third tranche was valued at SR1.180 billion maturing in 2032, and the fourth tranche was SR1.692 billion set to expire in 2036.
The fifth tranche was worth SR2.573 billion, maturing in 2039.
In September, NDMC completed the issuance of a $5.5 billion (SR20.63 billion) international sukuk under the Kingdom’s Global Trust Certificate Issuance Program.
The offering — the country’s first international sukuk based on an Ijarah structure — was issued in two tranches. A five-year sukuk maturing in 2030 raised $2.25 billion (SR8.44 billion), while a 10-year tranche maturing in 2035 secured $3.25 billion (SR12.19 billion, NDMC said at the time.
The center added that the issuance aligns with its strategy to diversify the investor base and meet Saudi Arabia’s financing requirements through international debt capital markets in an efficient and effective manner.
