Saudi Arabia expects its financing to be around $12 billion this year after pre-funding a larger amount in 2022, according to the National Debt Management Center (NDMC).
Saudi Finance Minister Mohammed al-Jadaan approved the 2023 annual borrowing plan and a domestic sukuk issuance calendar, NDMC said in a statement. It added that the kingdom raised about $12 billion for 2023 financing needs in pre-funding transactions in 2022.
Earlier this month, according to Reuters, Saudi Arabia raised $10 billion in a multi-tranche bond sale, taking advantage of a window to tap global debt markets amid market volatility.
High oil prices helped Saudi Arabia’s fiscal balance tilt to its first surplus since 2013 last year, expected to be 2.6% of GDP. A consecutive surplus is a forecast for 2023, clouded by global economic concerns and an uncertain oil price outlook.
Despite the expected surplus, according to NDMC, the kingdom wants to maintain its funding activities on domestic and international markets to repay debt principal that would mature in 2023 and over the medium term.
The NDMC will continue to consider market conditions when deciding whether to fund new initiatives locally or abroad.
Loading the player...
Meet the robot that efficiently operates in desert terrain