Saudi Arabia reportedly wants $10 billion from banks

Saudi Arabia is asking banks for a loan of up to $10 billion, according to Reuters.

The report noted that the government sent banks an invitation that did not specify an amount, although sources tell Reuters that it could be as much as $10 billion or more.

The oil-producing heavyweight has faced fiscal challenges as oil prices have plunged.

When the 2016 budget was unveiled at the end of last year, it showed that the Kingdom expects record deficits, RBC Capital’s Helima Croft noted.

“2016 could prove to be the year of living dangerously for Saudi Arabia with the Kingdom facing substantial economic and security headwinds,” she wrote at the time.

NOW WATCH: These are the biggest risks facing the world in 2016

NOW WATCH: Money & Markets videos

Want to read a more in-depth view on the trends influencing Australian business and the global economy? BI / Research is designed to help executives and industry leaders understand the major challenges and opportunities for industry, technology, strategy and the economy in the future. Sign up for free at