In a strategic move that underscores its growing influence in the GCC debt capital markets, Al Salam Bank has been appointed as Joint Lead Manager and Bookrunner for the Saudi Real Estate Refinance Company's (SRC) USD 2.75 billion dual-tranche international Sukuk issuance. This transaction, which is backed by the Government of the Kingdom of Saudi Arabia’s Public Investment Fund (PIF), is hailed as the largest international US dollar-denominated GCC Sukuk of 2026.

The issuance has garnered significant attention, with orders exceeding USD 18.7 billion, marking a subscription level of 6.8 times the offering size. This reflects the heightened international appetite for high-grade, sovereign-linked Sukuk, as well as the sustained momentum in GCC debt capital markets.

Al Salam Bank's involvement in this transaction is a testament to its robust financial standing and its strategic focus on expanding its debt capital markets platform. The bank's Chief Treasury Officer, Hussain Abdulhaq, emphasized that Saudi Arabia continues to lead the region in debt capital market development. He noted that Al Salam Bank's participation in this transaction aligns with its strategy of leveraging its balance sheet and treasury capabilities to support significant capital markets transactions.

The SRC transaction is part of a broader trend where regional issuers are increasingly turning to international capital markets to diversify funding sources. Saudi Arabia, in particular, is making concerted efforts to deepen and diversify funding channels for strategic sectors such as housing finance. This move is expected to bolster the country's economic development by providing essential funding for key sectors.

Al Salam Bank, along with ASB Capital, has been active in several leading issuances across the GCC, connecting regional and international investors with high-quality issuers. This growing track record highlights the group's role in facilitating significant debt capital markets transactions, spanning financial institutions, corporates, and government-related entities central to Saudi Arabia's economic growth.

Given the bank's strategic positioning and its active involvement in high-profile transactions, investors may consider holding their current positions in Al Salam Bank. The bank's expanding role in the GCC debt capital markets and its ability to connect investors with high-grade issuers are positive indicators for its future performance.