SAR=X: JPMorgan to Integrate Saudi Local-Currency Bonds into GBI-EM Index

JPMorgan to Integrate Saudi Local-Currency Bonds into GBI-EM Index

Apr 22, 2026 19:56 UTC

SAR=X

Long term

JPMorgan Chase & Co. has announced the phased inclusion of Saudi Arabia's local-currency government bonds into its Government Bond Index-Emerging Markets (GBI-EM). The integration process is scheduled to commence on January 29, 2027. This strategic move incorporates Saudi sovereign debt into one of the most widely tracked benchmarks for emerging market bonds. By doing so, JPMorgan facilitates easier access for global institutional investors to the Saudi market, aligning with the kingdom's goals to diversify its economy and reduce its historical reliance on oil revenues. The inclusion will be executed gradually, with the Saudi riyal bonds eventually reaching a total weighting of 2.52% within the index. This phased approach is intended to allow the market to absorb the new assets efficiently without triggering excessive volatility in local bond prices. The addition is expected to drive significant foreign portfolio investment into the kingdom. Increased demand for local-currency bonds typically lowers borrowing costs for the sovereign issuer and enhances the overall liquidity and depth of the domestic financial market.

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JPMorgan to Integrate Saudi Local-Currency Bonds into GBI-EM Index

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