Riyadh, Saudi Arabia : Saudi Arabia has raised 1.87 billion U.S. dollars, in a new Islamic bond issue, as the kingdom bids to finance a budget deficit, resulting from low oil prices.

The first two issues were made in Apr and July, and were worth a total of 13.5 billion dollars. The kingdom had also issued conventional domestic and global bonds.

The kingdom has forecast a budget deficit of 53 billion dollars, this fiscal year, down slightly from last year’s shortfall.

Riyadh has also withdrawn more than 230 billion dollars, from its fiscal reserves, since the end of 2014, to finance the budget deficit.

Its reserves now stand at just over 490 billion dollars.

Economic growth in Saudi Arabia is expected to hit just 0.1 percent this year, according to the International Monetary Fund.

—NNN-SPA