The government will reportedly sell cSAR20bn (USD5.3bn) of domestic bonds to banks next Monday. The issue will comprise five- (60-65 bps above US Treasuries), seven- (72-77 bps over) and 10-year (85-90 bps over) bonds in a fixed rate tranche. It will also comprise five- (25-30 bps below the three-month Saudi interbank offered rate), seven- (10-15 bps below) and 10-year (flat-5 bps above) bonds in a floating rate tranche. Since last August, the government has been selling c20bn of domestic bonds to banks every month, has started borrowing abroad in the last few months, raised a USD10bn international loan last month, and plans a USD bond issue in coming weeks or months. (Reuters)