Great success for Saudi Arabia's first bond issue on global markets, which managed to raise 17,5 billion dollars, thus setting a new record for an emerging country, stealing the record from Argentina.
The news was announced by the “Financial Times, indicating that Ryad closed the books of the operation at the start of the day.
According to initial indications, a veritable rain of requests for the securities to be placed has been put in place, with a figure that has reached 67 billion dollars. An amount that has allowed Saudi Arabia to raise the amount of the issue compared to the 10-15 billion initially envisaged.
Ryad's debut on the global bond market includes three maturities (5, 10 and 30 years) and should be priced with expected yields around 2,63%, 3,44% and 4,64% respectively.
These are levels below the initial guidance, which pointed to a rate of 3,6% for the ten-year term.
The issue is rightfully part of a transformation plan for the Saudi economy, in search of redemption after the collapse in oil prices which opened up a growing deficit in the public accounts.
Although the levels of black gold have recovered from the lows of less than 30 dollars a barrel marked in January, the current level of 52 dollars represents half the prices of two years ago.
According to the IMF, Saudi Arabia's economy will grow by 1,2% this year, recording a significant slowdown compared to +3,5% in 2015.
The previous record for an emerging country bond was held by Argentina, with a $16,5 billion issuance.
