Markaz: GCC Fixed Income markets sees slower issuing activity in Q1 2023

Markaz: GCC Fixed Income markets sees slower issuing activity in Q1 2023

Kuwaiti issuers raised a total of USD 0.4 billion in primary debt, representing 1.6% of all issuances

Kuwait: Kuwait Financial Centre “Markaz” released its research report titled “GCC Bonds and Sukuk Market Survey for Q1-2023”.In its quarterly Fixed Income Report, Markaz explains that Primary debt issuances in the GCC were off to the slowest start in three years during the first quarter of the year due to the tightening of monetary policy as well as continued macro volatilities. Primary issuances of Bonds and Sukuk in the GCC amounted to USD 28.3 billion in the first three months of 2023 compared to USD 36.3 billion raised during the same period in 2022, a decline of 22.1% year-on-year. In terms of the number of issuances, there were 62 primary debt issuances in the GCC during Q1-2023 compared to 76 issuances for the same period in 2022.

Geographical Allocation:

Saudi-based issuers led the GCC Bonds and Sukuk market during Q1 2023, raising a total of USD 21.3 billion, representing 75.4% of the total value raised in the GCC, followed by the UAE entities with 19.9% of the total primary issuances or equivalent to USD 5.6 billion. Qatar entities raised a total of USD 0.9 billion representing