Saudi Arabia led the Gulf Cooperation Council (GCC) in fixed income issuances during the third quarter of 2025, raising $20.32 billion through 36 bond and sukuk offerings, according to regional financial data.
The total represents a 62.7 per cent year-on-year increase and underscores Saudi Arabia’s growing influence in regional debt markets. GCC-wide, primary debt issuances reached $38.74 billion in Q3, driven by investor interest in both sovereign and corporate instruments.
Analysts said the surge reflects the Kingdom’s ongoing economic diversification, including infrastructure investment, renewable energy projects and Vision 2030 initiatives. The strong activity also aligns with government plans to maintain liquidity in domestic markets while providing investment opportunities to both institutional and retail investors.
The issuance mix included conventional and Shariah-compliant instruments, the latter continuing to gain traction among Islamic investors. Gulf sovereign wealth funds and institutional investors participated heavily while foreign investor interest increased.
Despite global market volatility, the growth of the Saudi bond market shows that the GCC continues to benefit from economic stability, low interest rates and strong credit ratings. Economists said the expansion could encourage further regional integration with cross-border investment expected to rise.
Saudi Arabia plans additional issuances in Q4 2025 to fund infrastructure projects, support private sector growth and manage public debt efficiently. Observers noted that transparency and clear regulation will be essential to maintain investor confidence.
Overall, third-quarter figures reinforce Saudi Arabia’s position as the dominant issuer in the GCC. With continued demand expected, the Kingdom is set to remain a key player in the region’s financial markets while setting benchmarks for other GCC economies in scale and sophistication.
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