Finance Minister endorses SAR 139B borrowing plan for 2025

Mohammed Al-Jadaan Minister of Finance

Minister of Finance Mohammed Al-Jadaan endorsed the annual borrowing plan for the fiscal year 2025, after it was approved by the National Debt Management Center’s (NDMC) board.
 

The plan included the key developments in public debt for the year 2024, local debt market initiatives, in addition to the financing plan for FY 2025 and its guiding principles, with a review of the calendar of the Kingdom’s local SAR-denominated sukuk program issuances for the year 2025, according to a statement.
 

According to the plan, the expected financing needs for FY 2025 will amount to nearly SAR 139 billion, to cover the projected deficit in the state’s budget, which is estimated at about SAR 101 billion and to pay the principal debt to come due in 2025, amounting to SAR 38 billion.
 

To further solidify the sustainability of the Kingdom’s access to various debt markets and expand the investor base, the Kingdom aims in 2025 to continue diversifying local and international financing channels to cover financing needs with the required efficiency. This will be implemented by issuing sovereign debt instruments at a fair price within well-studied frameworks and foundations for risk management, while leveraging on market opportunities to expand the implementation of special financing operations that contribute to enhancing economic growth, such as financing through export credit agencies, financing infrastructure development projects, financing capital expenditures, and studying available opportunities to enter new markets and currencies.