Saudi Arabia Appoints Societe Générale to Boost Domestic Debt Market under Vision 2030

Prime Highlights

France’s Societe Générale has been appointed a primary dealer for Saudi domestic sukuk and bond offerings.
Domestic debt issuance rose strongly, with sukuk and corporate bonds rising more than two-fold to $37 billion during Q1 2025.

Key Facts

Societe Générale is appointed the sixth foreign primary dealer, along with BNP Paribas, Citi, Goldman Sachs, J.P. Morgan, and Standard Chartered.
NDMC’s sukuk issue in May was SR 4.08 billion (~$1.08 billion), 54.5% higher than March and 9.1% higher than April.

Key Background

Saudi Arabia’s Ministry of Finance and the National Debt Management Center (NDMC) formally appointed France’s Societe Générale as one of the lead domestic debt instrument dealers such as sukuk and bonds. The move further reinforces the Kingdom’s drive to deepen the domestic debt market under its Vision 2030 Financial Sector Development Program.

By adding the current list of international primary dealers including BNP Paribas, Citigroup, Goldman Sachs, J.P. Morgan, and Standard Chartered, the NDMC seeks to diversify investors, enhance liquidity, and normalize the process of secondary and primary market trading. The subscription requests are now monthly made through the authorized dealers for more efficient and transparent debt issuance.

Saudi Arabia’s corporate bond and sukuk market has experienced explosive growth, with aggregate issuance rising more than doubling year-on-year to $37 billion in Q1 2025 from $15.5 billion in Q1 2020. The Kingdom accounts for over 60% of the combined issue volume of the GCC on current day, making it a leader in regional capital markets.

Debt issuance trends also reflect this pace. NDMC issued SR 4.08 billion (~$1.08 billion) in May 2025, up 9.1% from April but 54.5% higher than March’s SR 2.64 billion. Issuance dropped to SR 2.35 billion in June but recovered in July at SR 5.02 billion, maturity to be witnessed in 2029-2039.

Over the next couple of years, Saudi Arabia’s domestic debt market is projected by analysts to gain even more traction, with sovereign and corporate issuance reaching 20.7% GDP in early 2025. Corporate debt is also expected to rise to 3.4% in early 2025 from 1.9% of GDP in 2020, a reflection of the high level of investor confidence and ongoing financial reform.