Saudi Arabia’s Public Investment Fund (PIF) has signed a $10bn syndicated bridge loan.

It will be repaid following completion of the agreed sale of PIF’s stake in Saudi Basic Industries Corporation (Sabic) to Saudi Aramco.

The proceeds will be used for general corporate purposes and will enable PIF to accelerate the implementation of its investment programme.

PIF said in 2017 that its four sources of funding are capital injections by the government, asset transfers from the government, retained investment returns, and PIF loans and debt instruments independently issued by PIF.

The syndicated bridge loan has been agreed with a group of 10 international banks, including: Bank of America Corporation, BNP Paribas, Citigroup, Credit Agricole CIB, HSBC, JP Morgan, Mizuho Bank, MUFG Bank, Standard Chartered Bank and Sumitomo Mitsui Banking Corporation.

The banks are all part of PIF’s core banking group, created in September 2018 through the signing of its $11bn international syndicated loan facility.