Saudi Arabia said to weigh opening kingdom's debt markets

Banks with experience arranging Islamic bond sales may stand to benefit from the potential opening of Saudi Arabia’s debt market to foreign investors. There’ll be a lot of potential for non-Saudi banks to get involved on the advising and arranging side. Besides, they’re also some of the biggest sukuk buyers. Saudi Arabia is working on new rules aimed at promoting the local currency bond and sukuk market. The rules are expected to allow foreign investors to buy local currency bonds for the first time and could be published early next year. The new rules for the debt markets are also expected to stipulate that ratings companies will need to have a local presence to rate domestic securities. Saudi Arabia is de facto leader of OPEC and plans to remove some restrictions to lure capital to the $745 billion economy.