Saudi Basic Industries Corp (Sabic) will sell Islamic bonds worth 5 billion riyals ($1.3 billion) this month, the company's chief financial officer said.

The Saudi Capital Market Authority gave the world's largest chemical firm by market value the green light to raise up to 5 billion riyals from Islamic bonds, or sukuk.

Mutlaq Al Morished, Sabic's chief financial officer, said the company would raise the entire amount in a single tranche before the end of July.