19th November 2019
Burj Rafal Hotel, Riyadh


19th November 2019

Registration and networking
Recitation of the Holy Quran
Chairman’s opening remarks
Macroeconomic overview: What are the challenges and opportunities on the horizon for Saudi Arabia’s economy?
  • Global monetary and fiscal policy: How are developed countries managing their economies? What is the impact on capital flows?
  • Oil and gas price outlook and its effect on Saudi Arabia’s short, medium and long-term growth prospects?
  • How are structural changes driving growth in Saudi Arabia?
Developing the primary dealer market to boost liquidity for sukuk and bonds
  • What do the primary dealers offer to the market? What is their role? What are the successes achieved and challenges faced in 2018-19?
  • Why a robust and liquid Inter-bank Repo market is essential for the long-term sustainability of the local sukuk/bond markets
  • Zakat-deductibility, lower minimum-value orders, Euroclearable, Indices-included: Initiatives to attract HNWs, institutional and retail investors to the sukuk market – what has the impact been so far on liquidity and trading?
  • What comes first, supply or demand: How to encourage new names (corporates) to come to the SAR sukuk market
How to attract Global Fixed Income Investors, Foreign Direct Investors and Qualified Foreign Investors to Saudi Arabia
  • What is the overall objective to investment? How does their strategy when entering a market reinforce the objective?
  • What is the list of criteria that need to be fulfilled for investors to enter a market?
  • Areas of focus: What do they feel the key areas of development are for Saudi Arabia to attract greater foreign investment in project finance (FDI), bond/sukuk markets (fixed income) and equity markets (QFIs)?
  • More liquidity from the inclusion of Saudi Arabia into Global EM bond indices: What’s different in 2019 versus 2018?
Coffee and networking
Case study: Preparing, structuring, packaging and distributing Saudi Arabia’s first-ever corporate bond
  • From start to finish: How long does the process take? What preparations does the corporate need to make before going to market?
  • The (private and public) rating process: What does it involve? How much do companies need to disclose? How ratings be beneficial to the company business planning beyond issuance
  • Roadshowing, pricing and printing: What CFOs and Treasurers should expect from their dealers when the deal goes live
  • Financial and non-financial benefits to the company of diversifying corporate funding portfolios from (bilateral and syndicated) loans to bond/sukuk explained
  • From local to global: how to issue sukuk internationally
Loan Financing in Saudi Arabia: How can borrowers and lenders work together to extract maximum mutual benefit?
  • Market Capacity: Is a wider international banking audience needed to meet the country’s burgeoning USD financing requirement?
  • Is excess SAR liquidity a help or a hindrance?
  • Fees: Why do they matter if margins cover the risk?
  • Syndications vs bilaterals: What are the trade-offs worth making to attract a wider banking group?
  • LMA Documentation: What’s not to like?
  • What is the role for non-bank institutional investors?
Hybrid capital: How Saudi Arabia’s banks and corporates are managing capital ratios, liquidity and liability structures
  • Impact of new regulation (IFRS 9, Basel 3) on Saudi banks: How are banks optimising their liability structures?
  • Core vs. non-core assets: Why are Saudi banks not offload their balance sheets?
    • Is there any incentive to sell-down loans to investors in the form of securitised bonds/sukuk?
    • How do banks plan to churn their balance sheets of 20-year project finance loans?

Structuring, packaging and distributing convertible bonds: Process and execution

Lower cost of borrowing: What are the economic and capital reasons for companies to issue convertible bonds?

Yield pick-up: What are the risk/return pros and cons for investors to buy convertible and hybrid bonds/sukuk?

Networking lunch hosted by MUFG
What are the financing options being considered by Saudi Arabia’s corporates, and at what pricing?
  • Bonds/sukuk vs. loans vs. equity: What funds can be raised in each market and at what price?
  • What do companies in the Kingdom have planned, and what funding needs do these plans present?
  • Who is best placed to provide this financing?
  • How do different funding instruments fit into short, medium- and long-term corporate strategy? What are the costs of the different options, and what are their benefits?
Green bonds/sukuk: How are investors integrating ESG into their approach to fixed income investments? What metrics are they using?
  • Why go green: What is driving global investor demand for green bonds/sukuk?
  • What are the capital and economic advantages to issuing green bonds/sukuk?
  • Is there a link between ESG (Environment, Social and Governance) and accessing new pools of capital?
  • Are issuers in danger of losing existing buyers of bonds if they do not issue green?
  • Message from global investors looking at opportunities in Saudi Arabia: What are investors’ expectations for ESG?
Coffee and networking
Privatisation and PPPs of non-power-and-water projects: How to structure deals to attract local and international investors
  • Pipeline of PPPs and privatisations: What is coming online in what sectors and how much capital is needed to finance projects?
  • Shifting from corporate to project/PPP risk: Gauging Saudi banks’ appetite for non-power-and-water projects:
  • What are the challenges for international banks assessing projects away from the power and water sector in Saudi Arabia?
  • How is the NCP reforming companies/assets before privatisation and issuing bonds/sukuk? How are non-power/water projects being developed to meet international standard risk allocation?
  • Structures, case studies and solutions: What can be applied from successful deals in the power and water sector to sectors such as transport, hospitals and schools to meet international standard risk allocation?
  • How is the government reforming companies and assets before privatisation and issuing bonds/sukuk?
Solving the housing finance dilemma: How to launch a true-sale securitisation market in Saudi Arabia
  • Boosting corporate liquidity and building out an active curve beyond 10 years: Why building out real-estate-backed bond/sukuk yield curves to 15 and 20 years is essential to support fixed rate mortgages
  • Saudi Real Estate Refinance Company: What is their role and business model to promote capital markets and mortgage-backed securitisation?
  • Legislative infrastructure: What is in place? What still needs to be put into place to develop a market for true-sale securitisation in Saudi Arabia?
  • Corporate vs. asset risk: How will bank treasuries risk manage securitised bonds/sukuk (yield pick-up, locally/internationally rated, greater liquidity and transparency)?
  • Case studies and best practice from around the world: What can be applied to Saudi Arabia’s housing market?
Chairman’s closing remarks and close of conference