JEDDAH: Saudi Arabia’s National Debt Management Center has completed its June issuance under the government’s riyal-denominated sukuk program, raising SR2.355 billion ($628 million).
The figure marks a decline of 42 percent from May’s SR4.08 billion, which was the highest monthly total recorded this year. The drop reflects typical fluctuations in the government’s monthly funding activity.
The June offering was divided into five tranches. The first amounted to SR25 million and will mature in 2027. The second, totaling SR1.175 billion, will mature in 2029. The third tranche stood at SR500 million and is set to mature in 2032. The fourth was SR5 million, maturing in 2036, while the fifth and final tranche reached SR650 million, due in 2039.
Sukuk, which are structured to comply with Islamic finance principles, offer investors returns generated from tangible assets or projects, rather than traditional interest payments. These instruments continue to attract strong demand from investors seeking stable, Shariah-compliant returns.
Despite the month-on-month decline, the latest issuance underscores Saudi Arabia’s efforts to diversify its funding base and develop the domestic debt market.
