Saudi Electricity Company Signs a Landmark $3.6 Billion International Financing Agreement

The Saudi Electricity Company (SEC) announced today, the signing of a $3.6 billion international syndicated financing agreement (equivalent to 13.5 billion SAR) with leading global and regional banks. The participating financial institutions include Industrial and Commercial Bank of China (ICBC), Bank of China, Agricultural Bank of China, Bank of Communications, China Construction Bank, KFW IPEX-Bank, State Bank of India, First Abu Dhabi Bank, Abu Dhabi Commercial Bank, Abu Dhabi Islamic Bank, Boubyan Bank, Dubai Islamic Bank, and Saudi Investment Bank.

‏The financing is unsecured and has a five-year term, with an option to extend for an additional two years. This agreement underscores the company’s strong creditworthiness and the trust it enjoys within global financial markets.

‏Commenting on the agreement, Khaled Al-Ghamdi, Acting CEO of SEC, stated: “This agreement is not just a mere financing transaction; it represents a key strategic step supporting our ambitious investment strategy. The financing will support our initiatives to modernize and expand our electric gird infrastructure, connect renewable energy plants, build battery storage systems and enhance its capacities as well as providing high quality services for customers. This ultimately is expected to drive sustainable growth prospects while boosting shareholders’ value.”

‏He added:‏ “At SEC, we are fully committed to our pivotal role in enabling a diverse and sustainable energy mix within the Kingdom’s grid, in alignment with Saudi Vision 2030. This along with our mandate to meet the fast-growing demand for electricity services that keep pace with the Kingdom’s dynamic economic progress.

Furthermore, we remain steadfast in our dedication to enhancing local content and fostering industry localization while contributing to enriching the national economy.”

‏Al-Ghamdi also expressed his gratitude for the strong interest shown by leading banks in collaborating with SEC, saying: ‏“The successful closure of this financing agreement under favorable terms reflects the confidence of the global financial community in our vision and capabilities. It also highlights the long-standing, productive partnerships we have cultivated with top-tier financial institutions around the world.”