What Happened?
Non-listed corporate debt in Saudi Arabia surged by over 500% in the second quarter of 2025 compared to the same period in 2024.
These are debts issued by companies whose securities are not publicly traded on the stock exchange.
Why the Surge?
Investor diversification: Investors are moving beyond equities to spread risk and enhance returns.
Regulatory support: Saudi regulators introduced frameworks that make it easier for private companies to issue debt.
Economic confidence: Large-scale projects under Vision 2030 increase demand for corporate funding outside traditional bank loans.
Implications
The rise reflects a maturing financial market in Saudi Arabia.
Companies, especially in non-oil sectors, now have more financing options.
Investors gain access to new fixed-income opportunities, diversifying their portfolios.
Bottom Line
The 500% increase signals a structural shift: non-listed corporate debt is becoming a key component of Saudi Arabia’s financial landscape, offering both funding for companies and diversified opportunities for investors.