The Saudi Real Estate Refinance Company doubles its local sukuk program to SAR 20 billion.

Monday 08 June 2026
الشركة السعودية لإعادة التمويل العقاري تضاعف برنامجها للصكوك المحلية إلى 20 مليار ريال سعودي

...and completes the issuance of its fifth tranche worth 3 billion

The Saudi Real Estate Refinance Company doubles its local sukuk program to SAR 20 billion.

 

The Saudi Real Estate Refinance Company (SRC), wholly owned by the Public Investment Fund (PIF), announced that it has doubled its local sukuk program, backed by government guarantees from the Ministry of Finance, to SAR 20 billion, and has successfully completed its fifth tranche in a SAR 3 billion sukuk issuance. This comes as a continuation of the company’s success in issuing SAR 10 billion worth of local sukuk during the past 12 months, which were provided at a fixed profit rate extending to ten years.

The completion of the fifth tranche, which was distributed to investment institutions with a value of 3 billion riyals, came within the framework of the Sukuk issuance program with a fixed profit rate extending to ten years, as the subscription achieved high demand for the offer and an increase in the coverage ratio of 1.27 times with a fixed profit rate and a maturity period of up to ten years, despite market fluctuations.

Fabrice Susini, CEO of the Saudi Real Estate Refinance Company, said that the successful completion of the local sukuk program, despite the volatile market conditions, confirms the great confidence of investors in our business model and in the Saudi housing and real estate finance market, after exceeding the subscription limit in the various tranches within the first series.

He added: “We are proud of the record that the company has achieved over the past few years, which stems from the company’s role and leadership as a consistent issuer of sukuk in the local market, stressing the continuation of efforts to support and develop the financial sector in the Kingdom by providing new and alternative financial solutions to attract local and international investments.”

Soussini emphasized that the funding raised so far will contribute to strengthening the company's main role of increasing liquidity in the market and providing continuous support to residential mortgage lenders, including banks and financiers, leading to stability in the Saudi mortgage market and growth in homeownership rates among Saudi families .

It is worth noting that the completion of the local sukuk program achieved several objectives of the Financial Sector Development Program and enhanced the capabilities of the Saudi capital market. HSBC acted as the lead coordinator for the issuance in the Kingdom, while Aljazira Capital, Al Rajhi Capital, and HSBC Bank managed the issuance. Saudi Arabia,” “Riyadh Capital,” and “SNB Capital .

The Saudi Real Estate Refinance Company ( SRC ) received an A2 rating from Moody's, one of the leading international rating agencies, praising the strength of the company's assets and capital and the high levels achieved in the secondary mortgage market in the Kingdom of Saudi Arabia. The company also received an A rating from Fitch Ratings for its important strategic role in providing liquidity for residential mortgage financing for Saudi families with the aim of increasing the homeownership rate to 70% by 2030, in accordance with the Kingdom's Vision 2030 targets.

 

 

 

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