Wednesday 24 June 2015

World’s lowest debt-to-GDP ratio seen aiding Saudi debt sales | The National

World’s lowest debt-to-GDP ratio seen aiding Saudi debt sales | The National:



"Saudi Arabia has the world’s lowest debt to economic output ratio - for now. 




With oil prices tumbling and the kingdom burning through currency reserves at a record pace, economists from Bank of America Merrill Lynch to Abu Dhabi Commercial Bank expect authorities to start raising money through the local bond market to cover a widening budget deficit.



The potential sales will help create a benchmark for corporate borrowers. They may also be a boon for investment bankers after bond issuances in the six-nation GCC dropped by 34 per cent this year to $15.2 billion, data compiled by Bloomberg show."



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