Moody’s revised the outlook for the Saudi Public Investment Fund from stable to positive, and affirmed the fund’s credit rating at category “A1”.
Moody’s granting the fund an “A1” rating reflects the creditworthiness of the fund, and when linked to the approved rating methodology, it results in an “Aa2” result according to the performance evaluation.
Moody’s took several factors into account when issuing the fund’s rating, including the size of the assets under management, supported by the sustainable growth of the fund’s investment returns, the high quality of the fund’s investment portfolio, and the diversity of sectors in which the fund invests, both locally and internationally.
Moody’s also took into account the fund’s strong financial position with low borrowing ratios, high interest cost coverage, and the fund’s high liquidity.
In October 2022, the Public Investment Fund issued the first green bonds issued by global sovereign funds, which included the first 100-year issuance from a sovereign fund.
It was also followed by the fund’s announcement of the completion of the second issuance of its international green bonds in February 2023, which will be used to finance and refinance the fund’s green projects, in line with the fund’s green financing framework.