The National Debt Management Center (NDMC) has announced the completion of arrangement for securing a Shariah-compliant revolving credit facility worth USD 2.5 Bn (equivalent to SAR 9.4 Bn). The credit facility, which spans a tenure of three years, is aimed at financing the general budgetary needs, and was secured with the participation of three regional and international financial institutions.
The arrangement of these credit facilities aligns with the Kingdom's medium-term public debt strategy, aimed at diversifying funding channels to meet financing needs at fair pricing within well-defined risk management frameworks, and in accordance with the approved annual borrowing plan, by leveraging market opportunities to execute alternative government financing activities that promote economic growth, such as financing development and infrastructure projects.
The National Debt Management Center announces that it has closed the March 2021 issuance under the Saudi Arabian Government SAR-denominated Sukuk Program. The issuance size was set at SAR 7.674 billion (Seven billion and six hundred seventy-four million SAR).
The Sukuk issuances were divided into two tranches as follows:
• The first tranche has a size of SAR 2.710 billion (two billion, seven hundred and ten million SAR), and a total tranche size of SAR 6.715 billion (six billion and seven hundred fifteen million SAR), matures in 2028.
• The second tranche has a size of SAR 4.964 billion (four billion and nine hundred sixty-four million SAR), and a total tranche size of SAR 4.964 billion (four billion and nine hundred sixty-four million SAR), matures in 2031.
*Numbers are rounded to the nearest decimal.