Saudi Arabia’s Public Investment Fund (PIF) has revealed its initial murabaha credit facility amounting to $7 billion, a key element of its medium-term capital-raising strategy. This financing arrangement is backed by a broad consortium of 20 international and regional financial institutions.
Fahad AlSaif, PIF’s head of the Global Capital Finance Division and the Investment Strategy and Economic Insights Division, remarked: “This inaugural murabaha credit facility demonstrates the flexibility and depth of PIF’s financing strategy and use of diversified funding sources, as we continue to drive transformative investments, globally and in Saudi Arabia.”
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This financing initiative enhances PIF’s successful sukuk issuances from the past two years. It further solidifies PIF’s robust financial standing and its commitment to best practices in debt financing, according to a statement.
PIF holds an Aa3 rating from Moody’s with a stable outlook, along with an A+ rating from Fitch, also with a stable outlook. The fund’s principal sources of funding include capital contributions from the government, transfers of government assets, retained earnings from investments, and various loans and debt instruments.
About PIF
PIF is the investment engine driving economic transformation for Saudi Arabia and the world. With an ambitious program to deliver Vision 2030, PIF invests in projects, companies and partners to diversify the Saudi economy, stimulate growth in every major sector, and create new opportunities for investment and employment.
And as a global investor and catalyst of change, PIF actively partners with the most pioneering organizations across the world to accelerate their growth, and transfer the technology and knowledge needed to build industry ecosystems of the future.
Since 2017, PIF has established 99 companies and is driving the transition to a more sustainable economy through strategic investments and partnerships across the Saudi public and private sector. PIF is laying the foundations for local and international partners to invest in the economic and societal transformation of Saudi Arabia.
