Saudi PIF raises $7bln from inaugural Murabaha credit facility
Summary
Saudi Arabias Public Investment Fund (PIF) has closed its first Murabaha credit facility, raising $7 billion, as part of its medium-term capital-raising strategy.The funding was backed by a diverse syndicate of 20 international and regional financial institutions.The Murabaha credit facility highlights the flexibility and depth of PIFs financing strategy, said Fahad AlSaif, Head of the Global Capital Finance Division and Head of Investment Strategy and Economic Insights Division, at PIF.The latest facility complements PIFs sukuk issuances over the past two years, further diversifying its funding portfolio.The sovereign wealth fund relies on four primary sources of funding: capital injections from the government, government asset transfers, retained earnings from investments, and loans and debt instruments.