(Reuters) - Saudi Arabia’s sovereign fund is set to borrow up to $12 billion from international banks after IPO plans for state energy group Saudi Aramco were put on hold, the Financial Times reported, citing sources.

Reuters on Wednesday reported that Saudi Arabia had called off its plans for listing the oil giant as the country shifts its attention to a proposed stake in local petrochemicals maker Saudi Basic Industries Corp.

Almost 16 banks are expected to participate in the lending process, with the lead banks to be selected later Thursday, the report said.