Saudi National Bank’s $1 Billion Loan Adds to Middle East Spree - Bloomberg
Saudi National Bank is seeking a $1 billion syndicated loan, continuing a borrowing rush by the kingdom’s lenders that are helping finance a $2 trillion economic overhaul.
DBS Bank Ltd. and Mitsubishi UFJ Financial Group Inc. are the mandated lead arrangers and bookrunners of the five-year deal, according to a person familiar with the matter. The loan is being syndicated to the broader market, including Asia, said the person, who asked not to be identified discussing a private matter.
SNB didn’t immediately respond to a request for comment.
The SNB deal is the latest in a series of funding transactions from the Middle East, notably from Saudi Arabia, tapping Asian liquidity as economies there press ahead with expansion plans and seek to diversify funding sources. Middle Eastern borrowers raised around $13.5 billion via syndicated loans across the Asia Pacific so far in 2025, a record high and nearly three times the amount garnered during the same period last year, according to Bloomberg-compiled data that tracks volumes since 1999.
The SNB offering pays an interest margin of 90 basis points over the benchmark Secured Overnight Financing Rate and is targeting lenders globally, the person said.
Last month, Riyad Bank SJSC secured a $1.5 billion syndicated loan, primarily from banks in Greater China, while Abu Dhabi’s sovereign wealth fund ADQ obtained a $5 billion facility in October, targeting a similar pool of lenders, Bloomberg News reported.
Tuesday, 2 December 2025
#Qatar to Sell £273 Million Sainsbury’s Stake After Share Rally - Bloomberg
Qatar to Sell £273 Million Sainsbury’s Stake After Share Rally - Bloomberg
Qatar’s sovereign wealth fund plans to sell a stake worth about £273 million ($360 million) in J Sainsbury Plc, marking a significant selldown by the supermarket’s largest shareholder.
The Qatar Investment Authority plans to sell up to 83.6 million shares in the supermarket, according to a statement on Tuesday. It has also entered into a derivatives agreement with JPMorgan, as a result of which, the bank will sell a further 14 million shares. The value of the stake sale is based on Monday’s closing price of £3.26 a share.
The share sale comes after a 19% rally in Sainsbury’s shares this year, driven by higher sales as a result of British shoppers’ focus on value for money.
Qatar currently holds 239.4 mllion shares in the supermarket chain, representing a 10.5% stake, according to data compiled by Bloomberg.
Once the deal closes, Qatar will no longer be Sainsbury’s largest shareholder, dropping below Czech billionaire Daniel Křetínský’s investment vehicle Vesa Equity Investment, based on the proposed sale plan.
Qatar’s sovereign wealth fund plans to sell a stake worth about £273 million ($360 million) in J Sainsbury Plc, marking a significant selldown by the supermarket’s largest shareholder.
The Qatar Investment Authority plans to sell up to 83.6 million shares in the supermarket, according to a statement on Tuesday. It has also entered into a derivatives agreement with JPMorgan, as a result of which, the bank will sell a further 14 million shares. The value of the stake sale is based on Monday’s closing price of £3.26 a share.
The share sale comes after a 19% rally in Sainsbury’s shares this year, driven by higher sales as a result of British shoppers’ focus on value for money.
Qatar currently holds 239.4 mllion shares in the supermarket chain, representing a 10.5% stake, according to data compiled by Bloomberg.
Once the deal closes, Qatar will no longer be Sainsbury’s largest shareholder, dropping below Czech billionaire Daniel Křetínský’s investment vehicle Vesa Equity Investment, based on the proposed sale plan.
#SaudiArabia forecasts deficit of $44 billion in 2026 budget | Reuters
Saudi Arabia forecasts deficit of $44 billion in 2026 budget | Reuters
Saudi Arabia approved its state budget for 2026 on Tuesday, forecasting a narrower fiscal deficit as it shifts spending to priority sectors like industry and logistics in a push to increase non-oil revenue.
The kingdom projected a deficit of 165 billion riyals ($44 billion), or about 3.3% of gross domestic product. That would be down from the 245 billion riyals it now estimates for this year after lower oil prices and production weighed on revenue and spending overshot the budgeted level by around 4%.
The world's top oil exporter, Saudi Arabia is more than halfway through its Vision 2030 blueprint for economic transformation. The strategy, introduced by de facto ruler Crown Prince Mohammed bin Salman in 2016, calls for hundreds of billions of dollars in government investments to wean the kingdom’s economy off its dependence on hydrocarbon revenues.
According to the budget, 2026 will mark the start of a "third phase" of Vision 2030, signalling a shift in focus from launching economic reforms to maximising their impact.
The crown prince described the new phase as "accelerating the pace of progress and increasing growth opportunities to achieve a sustainable impact beyond 2030," according to state news agency SPA.
A SHIFT IN SPENDING BUT FEW SPECIFICS
The change in tone comes as Riyadh moves to refocus its $925 billion sovereign wealth fund away from delayed massive real estate projects toward sectors including logistics, minerals, artificial intelligence and religious tourism.
"Our level of spending in the last three budget cycles has been consistent, but now it is about what we are spending on, rather than how much we are spending," Finance Minister Mohammed Al Jadaan told Reuters ahead of the budget release.
The budget included few specific targets for that new focus, however, beyond setting a target of over 20 million visitors from abroad for the Umrah pilgrimage to Mecca in 2026, a sharp increase from the 15 million pilgrims expected this year.
SAUDI TO RUN 'DEFICIT BY DESIGN' UNTIL 2028, FINMIN SAYS
Total expenditure is projected at 1.31 trillion riyals in 2026, lower than an estimated 1.34 trillion riyals this year. Total revenue is forecast at 1.15 trillion riyals, slightly up on the estimated 1.1 trillion riyals in 2025.
"This is a deficit by design," Jadaan said in a media briefing on Monday. "We, by policy choice, will have a deficit until (20)28."
The expected leap in the 2025 deficit to more than double the budgeted target of 101 billion riyals would put the shortfall at 5.3% of GDP, up from an initial target of 2.3%.
Revenues this year are estimated to miss the budgeted target by about 7.8%, while spending is seen 4% higher.
Public debt is expected to reach approximately 1.5 trillion riyals by the end of 2025 - about 31.7% of GDP - up from 1.2 trillion riyals in 2024 in order to help meet financing needs this year, the finance ministry said.
"The still low government debt level provides space for this fiscal stance, though it is vulnerable to a further fall in the oil price," said Monica Malik, chief economist at Abu Dhabi Commercial Bank.
RECALIBRATING TO ENSURE PROJECTS DELIVER
The Saudi government and the nation's almost $1 trillion Public Investment Fund have both undergone a review of project and spending priorities, Jadaan told Reuters.
Some demands that seemed to be overly ambitious in terms of time frame or investment were scaled back to more reasonable objectives, he said.
Reuters reported in October that the PIF is preparing to shift away from the real estate gigaprojects that have dominated its development goals for the last decade.
In a departure from this year's spending package, the 2026 budget made no mention of specific gigaprojects such as NEOM or the Sindalah island resort.
The PIF, like the finance ministry, is making sure initial plans for projects "are recalibrated to ensure that they are delivering what they are meant to deliver", Jadaan said.
Saudi Arabia approved its state budget for 2026 on Tuesday, forecasting a narrower fiscal deficit as it shifts spending to priority sectors like industry and logistics in a push to increase non-oil revenue.
The kingdom projected a deficit of 165 billion riyals ($44 billion), or about 3.3% of gross domestic product. That would be down from the 245 billion riyals it now estimates for this year after lower oil prices and production weighed on revenue and spending overshot the budgeted level by around 4%.
The world's top oil exporter, Saudi Arabia is more than halfway through its Vision 2030 blueprint for economic transformation. The strategy, introduced by de facto ruler Crown Prince Mohammed bin Salman in 2016, calls for hundreds of billions of dollars in government investments to wean the kingdom’s economy off its dependence on hydrocarbon revenues.
According to the budget, 2026 will mark the start of a "third phase" of Vision 2030, signalling a shift in focus from launching economic reforms to maximising their impact.
The crown prince described the new phase as "accelerating the pace of progress and increasing growth opportunities to achieve a sustainable impact beyond 2030," according to state news agency SPA.
A SHIFT IN SPENDING BUT FEW SPECIFICS
The change in tone comes as Riyadh moves to refocus its $925 billion sovereign wealth fund away from delayed massive real estate projects toward sectors including logistics, minerals, artificial intelligence and religious tourism.
"Our level of spending in the last three budget cycles has been consistent, but now it is about what we are spending on, rather than how much we are spending," Finance Minister Mohammed Al Jadaan told Reuters ahead of the budget release.
The budget included few specific targets for that new focus, however, beyond setting a target of over 20 million visitors from abroad for the Umrah pilgrimage to Mecca in 2026, a sharp increase from the 15 million pilgrims expected this year.
SAUDI TO RUN 'DEFICIT BY DESIGN' UNTIL 2028, FINMIN SAYS
Total expenditure is projected at 1.31 trillion riyals in 2026, lower than an estimated 1.34 trillion riyals this year. Total revenue is forecast at 1.15 trillion riyals, slightly up on the estimated 1.1 trillion riyals in 2025.
"This is a deficit by design," Jadaan said in a media briefing on Monday. "We, by policy choice, will have a deficit until (20)28."
The expected leap in the 2025 deficit to more than double the budgeted target of 101 billion riyals would put the shortfall at 5.3% of GDP, up from an initial target of 2.3%.
Revenues this year are estimated to miss the budgeted target by about 7.8%, while spending is seen 4% higher.
Public debt is expected to reach approximately 1.5 trillion riyals by the end of 2025 - about 31.7% of GDP - up from 1.2 trillion riyals in 2024 in order to help meet financing needs this year, the finance ministry said.
"The still low government debt level provides space for this fiscal stance, though it is vulnerable to a further fall in the oil price," said Monica Malik, chief economist at Abu Dhabi Commercial Bank.
RECALIBRATING TO ENSURE PROJECTS DELIVER
The Saudi government and the nation's almost $1 trillion Public Investment Fund have both undergone a review of project and spending priorities, Jadaan told Reuters.
Some demands that seemed to be overly ambitious in terms of time frame or investment were scaled back to more reasonable objectives, he said.
Reuters reported in October that the PIF is preparing to shift away from the real estate gigaprojects that have dominated its development goals for the last decade.
In a departure from this year's spending package, the 2026 budget made no mention of specific gigaprojects such as NEOM or the Sindalah island resort.
The PIF, like the finance ministry, is making sure initial plans for projects "are recalibrated to ensure that they are delivering what they are meant to deliver", Jadaan said.
Gulf markets subdued on weak oil prices | Reuters
Gulf markets subdued on weak oil prices | Reuters
Most Gulf stock markets remained subdued on Tuesday, weighed down by lower oil prices, as investors awaited key U.S. economic data for clearer signals on the Federal Reserve’s interest rate trajectory.
Oil prices held firm on Tuesday as traders weighed up risks from Ukrainian drone strikes on Russian energy sites and mounting U.S.-Venezuela tensions.
Brent crude futures fell 18 cents, or 0.3%, to $62.99 a barrel by 1017 GMT.
Crude prices, even after the recent rebound, are still hovering near multi-month lows, putting pressure on the fiscal balances of oil-dependent Gulf nations through lower revenues.
Saudi Arabia's benchmark index (.TASI), opens new tab eased 0.1%, falling for a third consecutive session, with Al Rajhi Bank (1120.SE), opens new tab falling 0.4%.
In Qatar, the index (.QSI), opens new tab reversed early losses to finish 0.5% higher, led by a 1.6% rise in Qatar Islamic Bank (QISB.QA), opens new tab.
Data released on Monday revealed that U.S. manufacturing contracted for the ninth consecutive month in November. Attention now turns to Wednesday’s ADP November private payrolls report and Friday’s postponed September PCE inflation reading, both seen as critical indicators for a potential Federal Reserve rate cut at its meeting next week.
According to CME’s FedWatch Tool, markets are currently pricing in an 87% probability to a December rate reduction.
Outside the Gulf, Egypt's blue-chip index (.EGX30), opens new tab eased 0.2%, with Telecom Egypt (ETEL.CA), opens new tab retreating 2.6%.
Dubai and Abu Dhabi markets were closed for a public holiday.
Most Gulf stock markets remained subdued on Tuesday, weighed down by lower oil prices, as investors awaited key U.S. economic data for clearer signals on the Federal Reserve’s interest rate trajectory.
Oil prices held firm on Tuesday as traders weighed up risks from Ukrainian drone strikes on Russian energy sites and mounting U.S.-Venezuela tensions.
Brent crude futures fell 18 cents, or 0.3%, to $62.99 a barrel by 1017 GMT.
Crude prices, even after the recent rebound, are still hovering near multi-month lows, putting pressure on the fiscal balances of oil-dependent Gulf nations through lower revenues.
Saudi Arabia's benchmark index (.TASI), opens new tab eased 0.1%, falling for a third consecutive session, with Al Rajhi Bank (1120.SE), opens new tab falling 0.4%.
In Qatar, the index (.QSI), opens new tab reversed early losses to finish 0.5% higher, led by a 1.6% rise in Qatar Islamic Bank (QISB.QA), opens new tab.
Data released on Monday revealed that U.S. manufacturing contracted for the ninth consecutive month in November. Attention now turns to Wednesday’s ADP November private payrolls report and Friday’s postponed September PCE inflation reading, both seen as critical indicators for a potential Federal Reserve rate cut at its meeting next week.
According to CME’s FedWatch Tool, markets are currently pricing in an 87% probability to a December rate reduction.
Outside the Gulf, Egypt's blue-chip index (.EGX30), opens new tab eased 0.2%, with Telecom Egypt (ETEL.CA), opens new tab retreating 2.6%.
Dubai and Abu Dhabi markets were closed for a public holiday.
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