NCB secures $1.05 bln Murabaha financing facility from regional, global banks

National Commercial Bank (NCB) secured a syndicated Murabaha financing facility of $1.05 billion from a consortium of regional and global banks led by HSBC and Mizuho Bank, according to an official statement.

The financing facility, which was not guaranteed, has a tenor of three years and came within the bank's strategy aimed at diversifying sources of funding.

"Despite the current challenging conditions in the debt markets, the deal received an overwhelming turnout and reflected the investors' confidence in the Saudi economy, as well as NCB," the statement said.

The financing facility represents the largest syndicated Murabaha for a Saudi bank and the first in line with the criteria set by the Accounting and Auditing Organization for Islamic Financial Institutions (AAOIFI).