Broadcast: In line with the Kingdom of Saudi Arabia Vision 2030, the Fiscal Balance Program and the Financial Sector Development Program, the National Center for Public Debt Management closed its second international offering denominated in euro from the Kingdom of Saudi Arabia’s government bond program. The center announced the issuance on the morning of Wednesday, February 24, 2021 and closed it On the same day, in line with the implementation of European sovereign bond issues and allowing to attract maximum demand from investors.

In an unprecedented historic move, the Center took advantage of the opportunity to enter the European Euro market (the second largest market after the US dollar market) by issuing debt instruments with negative returns. To be the largest segment issued negatively outside the European Union.

An estimated 1.5 billion euros were collected from subscriptions to close the door to subscribing in the second international issue in the history of the Kingdom denominated in euros, divided into two tranches: the first tranche 1 billion euros for 3-year bonds maturing in 2024 with a negative return estimated at -0.06% And half a billion euros for 9-year bonds maturing in 2030 with a yield of less than 1%. This enhances and reflects investor confidence in the strength of the Saudi economy, as international portfolios have become fully aware of the creditworthiness and creditworthiness of the Kingdom since the issuance of international debt instruments in 2016. This is the second international issuance for 2021 after the Kingdom issued $ 5 billion in January.

It should be noted that one of the advantages of entering the Kingdom of Saudi Arabia in the euro market is the expansion of the investor base in general and European investors in particular in addition to the diversity of investors in the market as some investors invest only in the euro currency, and the Kingdom is the first Gulf country to issue bonds in the euro currency in 2019 . The very high demands proved that the strength of the Kingdom of Saudi Arabia enables it to enter different markets without affecting the debt prices in the long run and the possibility of diversifying the sources of financing, proving the sovereign power of the Kingdom and the possibility of establishing and building strategic relationships.