Saudi Arabia hires banks for US dollar bond: sources

Saudi Arabia has selected Citigroup, HSBC and JP Morgan to arrange its sovereign bond issue, Reuters reported, citing two unnamed sources with knowledge of the matter.

Earlier this month, banks had pitched for roles on the issue, which financiers expect to be valued at around $10 billion. The kingdom had earlier invited banks to submit proposals for the transaction.

Saudi Arabia is turning to international debt markets to help narrow its budget deficit brought on by an oil slump.

Last year, the country tapped the local bond market for the first time in eight years and raised  $4 billion.