Saudi Arabia has issued its first government-backed sukuk, or Islamic-bond this week in the Kingdom that amounted to the largest sukuk offering in Saudi’s history, according to reports.
The proceeds from the bond will finance the expansion of King Abdulaziz International Airport in Jeddah, which is located on the Red Sea coast. The bond was set for $4 billion.
It amounts to a bold step by a government seeking a more active capital market.
