Why Did Saudi Arabia Just Issue $2.5 Billion Worth Of Bonds?

The world’s top oil exporter, Saudi Arabia, is issuing US$2.5 billion worth of Islamic bonds, or sukuk, on Tuesday, returning to the bond market to take advantage of the low borrowing costs in hopes of replenishing its government coffers as persistently low oil prices depress revenues.         Saudi Arabia has set the guidance for the ten-year bond at 145 to 150 basis points over the benchmark midswaps, according to a document from one the banks leading the issuance seen by Reuters. Saudi Arabia has hired…