Saudi Arabia Launches September 'Sah' Sukuk Offering at 4.88% Yield
Government-backed savings sukuk targets deeper domestic market participation.
Saudi Arabia opened the subscription window for its government-backed "Sah" savings sukuk, offering investors a fixed annual return of 4.88 percent.
The subscription period began on September 7 and is available exclusively to Saudi nationals aged 18 and above through approved platforms including SNB Capital, Aljazira Capital, Alinma Investment, SAB Invest, and Al-Rajhi Capital, as managed by the National Debt Management Center.
The Shariah-compliant product is denominated in riyals with a one-year maturity, providing fixed returns upon redemption.
Minimum subscription is set at SR1,000 ($266) and capped at SR200,000 per individual.
This issuance aims to deepen the domestic savings market and enhance financial inclusion as part of the Financial Sector Development Program under Vision 2030, with the goal of lifting the national savings rate to 10 percent by 2030.
The sukuk represents a secure, low-risk savings instrument with no fees.
Allocation for subscribers is scheduled for September 16, with redemption from September 21 to 24 and proceeds disbursed on September 29.
Saudi Arabia has committed to regular monthly issuances under the Sah program, setting yields based on funding costs and market liquidity conditions.
In August, the Kingdom offered an annual return of 4.97 percent for its government-backed savings sukuk, up from 4.88 percent in July.
The Sah sukuk is gaining popularity among younger investors seeking Shariah-compliant returns, reflecting the government's efforts to foster a savings culture and expand participation in domestic capital markets.
Last week, Saudi Arabia completed a $5.5 billion international sukuk issuance under its Global Trust Certificate Issuance Program.
This was the country’s first international sukuk based on an Ijarah structure, with a five-year maturity raising $2.25 billion and a 10-year tranche securing $3.25 billion.
The strong demand, reaching about $19 billion or 3.5 times the issuance size, underscores global confidence in Saudi Arabia's economic fundamentals and investment outlook.
The subscription period began on September 7 and is available exclusively to Saudi nationals aged 18 and above through approved platforms including SNB Capital, Aljazira Capital, Alinma Investment, SAB Invest, and Al-Rajhi Capital, as managed by the National Debt Management Center.
The Shariah-compliant product is denominated in riyals with a one-year maturity, providing fixed returns upon redemption.
Minimum subscription is set at SR1,000 ($266) and capped at SR200,000 per individual.
This issuance aims to deepen the domestic savings market and enhance financial inclusion as part of the Financial Sector Development Program under Vision 2030, with the goal of lifting the national savings rate to 10 percent by 2030.
The sukuk represents a secure, low-risk savings instrument with no fees.
Allocation for subscribers is scheduled for September 16, with redemption from September 21 to 24 and proceeds disbursed on September 29.
Saudi Arabia has committed to regular monthly issuances under the Sah program, setting yields based on funding costs and market liquidity conditions.
In August, the Kingdom offered an annual return of 4.97 percent for its government-backed savings sukuk, up from 4.88 percent in July.
The Sah sukuk is gaining popularity among younger investors seeking Shariah-compliant returns, reflecting the government's efforts to foster a savings culture and expand participation in domestic capital markets.
Last week, Saudi Arabia completed a $5.5 billion international sukuk issuance under its Global Trust Certificate Issuance Program.
This was the country’s first international sukuk based on an Ijarah structure, with a five-year maturity raising $2.25 billion and a 10-year tranche securing $3.25 billion.
The strong demand, reaching about $19 billion or 3.5 times the issuance size, underscores global confidence in Saudi Arabia's economic fundamentals and investment outlook.
