The Saudi Ministry of Finance and National Debt Management Centre (NDMC) has appointed HSBC as an “International Primary Dealer,” enabling the global bank to act as an intermediary between foreign investors and the Kingdom’s local government debt instruments.
The announcement comes after the high-profile visit of Georges Elhedery, Group CEO, HSBC Group, to the Kingdom, where he joined clients and stakeholders in discussing international investor interest in the Kingdom’s economic transformation.
Reacting to HSBC becoming the Saudi NDMC’s “International Primary Dealer,” Faris AlGhannam, Chief Executive Officer (CEO) and Board Member, HSBC Saudi Arabia, told TradeArabia, “Saudi Arabia’s local debt market has become a consistent and prominent feature in emerging market strategy. This step underscores the Kingdom’s continued connectivity with global institutional investors, contributing to diversification in local issuances and secondary market liquidity.”
International primary dealers are emerging as the key channels in facilitating foreign debt investors’ access to Saudi Arabia’s government debt market, enabling participation in auctions and investment in local currency government bonds. SAB, HSBC’s strategic banking partner in the Kingdom, was appointed primary dealer for local investors in 2018.
Nabeel Albloushi, Head of Markets and Securities Services, HSBC Middle East, North Africa and Turkey, said, “This move marks a direct reflection of the increasing demand for Saudi debt exposure. By expanding our global distribution capabilities, HSBC is unmatched in its ability to provide primary dealer services to both regional and global investors for Saudi Arabian local debt.”
Also, Saudi Arabia’s borrowing activities are primarily conducted through sovereign sukuk and bond issuances in the local currency market. As per the NDMC, the Kingdom’s sovereign outstanding debt portfolio reached SAR 1,519 billion by 2025-end, of which 62% represented domestic debt.
“Foreign ownership of local currency debt in Saudi Arabia has been growing steadily, with recent data points to an uptick in demand. As at September 2025, foreign ownership of SAR Sukuk issuances stood at 12.8% compared to just 4.5% in December 2024,” TradeArabia concluded.