IILM Reissues US$1.03 Bill Short-Term Sukuk, Seventh Auction for 2022

The International Islamic Liquidity Management Corporation (IILM) has reissued a total of US$1.03 billion short-term A-1 rated sukuk across three different tenors of one, three and six-month respectively (US$1=RM4.39), marking its seventh sukuk auction for 2022.

The three series were priced competitively at 1.36% for US$250 million for a one-month tenor, 1.88% for US$420 million for a three-month tenor and 2.35% for US$360 million for a six-month tenor.

“The auction garnered significant interest among Islamic Primary Dealers and investors across the GCC (Gulf Cooperation Council) markets, as well as Asia.

“The competitive tender witnessed a strong orderbook in excess of US$1.86 billion, representing an average bid-to-cover ratio of 181%,” it said in a statement on Tuesday (June 7).

Further to Tuesday’s reissuance, It said the IILM has achieved year-to-date cumulative issuances totalling US$7.23 billion through nineteen sukuk series.

It said the IILM would continue to reissue its short-term liquidity instruments monthly, as scheduled in its issuance calendar.

The IILM is a regular issuer of short-term sukuk across varying tenors and amounts to cater to the liquidity needs of institutions offering Islamic financial services.

The total amount of IILM sukuk outstanding currently is US$3.51 billion and its short-term sukuk programme is rated A-1 by the United States credit rating agency S&P Global Ratings.

Courtesy By: https://www.theedgemarkets.com/