Saudi Arabia to Raise $9 Billion via Sukuk

The video discusses the sukuk market, highlighting a significant Islamic bond sale that exceeded expectations. Bashar al Natour from Fitch Ratings explains the supply-side limitations in the sukuk market despite strong demand. The discussion covers key markets like Malaysia and the GCC, and the growth of sukuk issuance in 2016 and 2017. Saudi Arabia's notable sukuk sale is analyzed, including its compliance with US risk retention rules. The video concludes with future market projections, considering factors like oil prices and diversification efforts.

Which regions are most active in the Sukuk market?

• South America and Africa

• Australia and New Zealand

• Malaysia, GCC, Pakistan, Indonesia, and Turkey

• Europe and North America

What is a key factor limiting Sukuk sales according to the transcript?

• High interest rates

• Supply side limitations

• Regulatory issues

• Lack of demand

What was the growth percentage of Sukuk issuance in 2016?

• 75%

• 10%

• 26%

• 50%

What unique structure did Saudi Arabia use in its Sukuk issuance?

• Murabaha Modaraba Hybrid

• Ijara

• Wakala

• Mudaraba

What is the significance of Saudi Arabia's $9 billion Sukuk sale?

• It was the largest Sukuk sale in history

• It marked a new compliance with US risk retention rules

• It was the first Sukuk sale to use Ijara structure

• It was the first Sukuk sale in the GCC

What is the expected oil price range for 2018 according to the transcript?

• $60-$65

• $52.5-$55

• $50-$55

• $40-$45

What is the main goal of Saudi Arabia's market diversification efforts?

• To develop capital markets

• To increase oil production

• To reduce taxes

• To increase foreign investments