Arab News, Thursday, Jan 26, 2023 | Rajab 4, 1444
Saudi Arabia estimates borrowing around $12bn in 2023, approves plan
Saudi Arabia: Saudi Arabia expects
its financing needs to be around SR45 billion ($12 billion) this year, the
National Debt Management Center said on Wednesday.
Finance Minister Abdullah Al-Jadaan approved the
2023 annual borrowing plan and a domestic sukuk issuance calendar, the NDMC said
in a statement.
The Kingdom raised about SR48 billion for 2023
financing needs in pre-funding transactions in 2022, it added.
The center said the Kingdom aims to “continue its
funding activities in the domestic and international markets with the objective
of repaying debt principal that will mature during the year 2023 and during the
medium-term.”
The NDMC will continue to consider additional
funding activities subject to market conditions and through available funding
channels locally or internationally, the statement added.
The sovereign debt portfolio rose by about SR52
billion in 2022 to SR990 billion, or 25 percent of gross domestic product, down
from 30 percent the previous year, but higher than NDMC’s estimate a year ago of
SR938 billion.
For 2023, it forecasts the debt portfolio to fall
to SR951 billion, or 24.6 percent of GDP.
Last year, the majority of about SR125 billion in
borrowing was raised domestically with roughly 15 percent raised
internationally, a decline from almost 40 percent in 2021.
The split between domestic and international debt
will be largely unchanged from 2022, NDMC said.