Kuala Lumpur, Malaysia:
The International Islamic Liquidity Management Corporation (IILM) is pleased to announce that it has successfully completed the auction for the reissuance of an aggregate of USD 1.10 billion short-term Ṣukūk.
The transaction comprised USD 400 million 1-month tenor priced at 0.33%, USD 450 million 3-month at 0.36% and USD 250 million 6-month at 0.40%.
The competitive tender resulted in significant interest from the GCC, especially from Islamic Primary Dealers and investors, with a strong orderbook in excess of USD 1.76 billion representing an average oversubscription rate of 1.6 times.
“The start of the second quarter has seen improved investor sentiment on the back of a more optimistic outlook for 2021 based on revised growth rates. High bid-to-cover ratios demonstrate sustained demand for the IILM’s short-term Ṣukūk amidst increase in supply of long-term Ṣukūk since the beginning of April. We are pleased to conclude our fourth auction for the year at competitive all-in profit rates.” said Dr Umar Oseni, Chief Executive Officer of the IILM.
The conclusion of today’s transaction brings the IILM’s year-to-date cumulative issuances to USD5.0 billion.
The total amount of IILM Ṣukūk outstanding is now USD 3.51 billion. The IILM short-term Sukūk programme is rated “A-1” by S&P.
About the IILM
The International Islamic Liquidity Management Corporation (IILM) is an international organisation established on 25 October 2010 by central banks, monetary authorities and multilateral organisations to develop and issue short-term Shari’ah-compliant financial instruments to facilitate effective cross-border liquidity management for institutions that offer Islamic financial services (IIFS).
The current members of the IILM Governing Board are the central banks and monetary agencies of Indonesia, Kuwait, Luxembourg, Malaysia, Mauritius, Nigeria, Qatar, Turkey, the United Arab Emirates, as well as the multilateral Islamic Corporation for the Development of the Private Sector.
Membership of the IILM is open to central banks, monetary authorities, financial regulatory authorities or government ministries or agencies that have regulatory oversight of finance or trade and commerce, and multilateral organisations.
The IILM is hosted by Malaysia and headquartered in Kuala Lumpur.
The International Islamic Liquidity Management Corporation (IILM)
T: +60(3) 2170 5000
F: +60(3) 2170 5111
© Press Release 2021