Bloomberg: Saudi Arabia’s bond issues attract strong demand from global investors

Bloomberg revealed that Saudi Arabia’s bond issues are witnessing strong demand by global investors, making the Kingdom the largest country issuing international debt in emerging markets.

The latest data indicates improved investor sentiment as the Kingdom seeks to finance projects to diversify the economy away from oil, which is consistent with the Kingdom’s Vision 2030.

“Sentiment towards Saudi bonds is very healthy,” said Apostolos Pantis, managing director of fixed income consulting at Union Bancaire Privee, based in Zurich.

Bond sales from Saudi institutions have increased by 8% so far this year.

China came in second place for the first time in 12 years, as Chinese borrowers are witnessing a frenetic buying wave of local currency bonds, which has led to a slowdown in international issuance.

At the same time, the rest of the emerging markets are also witnessing a successful year for bond issuance, amid low borrowing costs and the search for attractive returns.