Saudi Bond Borrowing Exceeds $20 Billion to Hit January Record

Saudi Arabia sold more than $20 billion of international bonds since the start of the year, a record for a January as companies and banks join government fund raising.

Banks are increasingly turning to debt markets in response to tightening liquidity conditions, as slowing deposit growth and tougher capital rules make it harder to meet strong credit demand driven by the kingdom’s Vision 2030 agenda. Higher capital requirements due to come into effect this year will force banks to keep more funds on their balance sheets.