#Saudi bonds index inclusion could pull in another $7bln: BAML | ZAWYA MENA Edition

Saudi bonds index inclusion could pull in another $7bln: BAML | ZAWYA MENA Edition:

Saudi Arabia could see another $7 billion pour into its sovereign debt markets as investors prepare for the kingdom's bonds to be included in a key index starting this month, Bank of America Merrill Lynch (BAML) estimated.

JP Morgan told investors in September that Saudi Arabia and four other Gulf states would join its emerging market government bond indexes - key performance benchmarks used by international investors - in a move likely to lure billions of dollars of new foreign investment into their debt. 

Sovereign and quasi-sovereign debt issuers from Saudi Arabia, Qatar, the United Arab Emirates, Bahrain and Kuwait - all members of the Gulf Cooperation Council (GCC) - will become eligible for the EMBI Global Diversified (EMBIGD), EMBI Global (EMBIG) and EURO-EMBIG indexes with securities being added in a phased entry between Jan. 31 and Sept. 30, 2019