#Saudi Real Estate Refinance Co delays debut dollar sukuk due to market volatility | Reuters

Saudi Real Estate Refinance Co delays debut dollar sukuk due to market volatility | Reuters

The Saudi Real Estate Refinance Company (SRC), the equivalent of U.S. mortgage finance business Fannie Mae, will delay plans for debut dollar-denominated Islamic bonds to the second quarter, its chief executive said.

SRC's CEO Fabrice Susini had said in November he expected the deal in the first quarter if market conditions allowed.

Debt markets already jittery over impending interest rate hikes have all but ground to a halt following Russia's invasion of Ukraine. Several Gulf issuers that have already mandated banks for deals are waiting for a window of stability, bankers have said.

SRC expects to launch two international and two domestic debt sales this year.

The domestic issues combined are expected to raise 3 billion to 6 billion riyals ($800 million-$1.6 billion) and the international sales are likely to raise $1 billion or possibly more in total, Susini said in an interview with Reuters.