April 21, 2025

Gulf issuers plan new bond offerings amid U.S. tariff policies

Investing.com -- Gulf issuers, including Saudi Arabia’s sovereign wealth fund valued at $925 billion, are reportedly preparing a series of bond offerings, according to a Reuters report on Monday. This comes despite the current instability in the debt markets caused by U.S. President Donald Trump’s tariff policies.

The Public Investment Fund (PIF) of Saudi Arabia is reportedly planning to raise between $1.5 billion and $2 billion through a sukuk, which is an Islamic bond, in the coming weeks. Earlier this year, the fund was successful in raising $11 billion.

This move by the PIF is happening at a time when Saudi Arabia is under increasing pressure to either raise debt or reduce spending. This is due to a significant drop in crude prices that could potentially wipe out tens of billions of dollars.

In the meantime, Abu Dhabi Ports Company is also planning to raise $2 billion in the coming weeks, the report said.

Moreover, Masdar, a firm specializing in renewable energy, is aiming to raise $1 billion from a green bond.

However, the plans are not yet finalized.

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