A Key Saudi Interbank Rate Is Now the Highest in Nine Years
- Three-month Saibor rises 49 basis point this year to 2.386%
- Saibor climbed above Libor last week for first time since Feb.
This article is for subscribers only.
A rate used to price loans in Saudi Arabia climbed to the highest level since the financial crisis. But unlike 2016, it’s the race to stay ahead of Libor, and not a liquidity squeeze, that’s raising borrowing costs.
The three-month Saudi interbank offered rate advanced on Tuesday to 2.38625 percent, two basis points above the London interbank offered rate on Monday, according to data compiled by Bloomberg.