The International Islamic Liquidity Management Corporation (IILM) has successfully reissued US$600 million in short-term sukuk in two series. The sukuk was rated A-1 by Standard and Poor’s Rating Services.
In a statement today, IILM said the sukuk were reissued in two different tenors, namely US$200 million with one-month tenor at a profit rate of 2.63 percent, and US$400 million with three-month tenor at a profit rate of 2.72 percent.
“The reissuance saw well-supported demand across the two series, with a bid-to-cover ratio of 259 percent for the one-month sukuk, and 248 percent for the three-month sukuk,” it said.
IILM said purchases by Islamic primary dealers in the primary auction for the one-month and three-month sukuk amounted to 95 percent and circa 80 percent, respectively.
IILM is an international organisation established on Oct 25, 2010 by central banks, monetary authorities and multilateral organisations to develop and issue short-term Shariah-compliant financial instruments to facilitate effective cross-border liquidity management for institutions that offer Islamic financial services.
The current members of the IILM Governing Board are the central banks and monetary agencies of Indonesia, Kuwait, Luxembourg, Malaysia, Mauritius, Nigeria, Qatar, Turkey, and the United Arab Emirates, as well as the multilateral Islamic Corporation for the Development of the Private Sector.
Source The Edge Markets