JPMorgan Considers Adding Saudi Riyal Bonds to Key EM Index
- Bank places Saudi local debt under review for GBI-EM inclusion
- Move could see kingdom attract significant foreign inflows
Saudi Arabian riyal banknotes.
Photographer: Maya Anwar/BloombergThis article is for subscribers only.
JPMorgan Chase & Co. is considering adding Saudi Arabia’s local-currency bonds to its benchmark emerging-market index, according to people familiar with the matter, a move that would help the kingdom attract more foreign portfolio investment and fund huge projects to diversify from oil.
The Wall Street bank has placed Saudi Arabia under review for inclusion into the Government Bond Index-Emerging Markets, a suite of indexes tracked by roughly $236 billion of funds.