PRESS RELEASE

Kuala Lumpur, Malaysia – 17 January 2023.

The International Islamic Liquidity Management Corporation (IILM), an international organisation that develops and issues short-term Shari’ah-compliant financial instruments, has successfully completed its first auction of the year with the reissuance of an aggregate USD 780 million short-term Ṣukūk across three different tenors of one, three, and six-month respectively.

The three series were priced competitively at:

i)    4.45% for USD 200 million for 1-month tenor;

ii)   4.85% for USD 380 million for 3-month tenor; and

iii)  5.05% for USD 200 million for 6-month tenor.

The issuance forms part of the IILM’s “A-1” (S&P) and “F1” (Fitch Ratings) rated USD 4 billion short-term Ṣukūk issuance programme.

The auction garnered a favourable and robust demand from both Primary Dealers and investors with a combined orderbook of USD 1.89 billion, representing an average bid-to-cover ratio of 242%.

Dr. Umar Oseni, Chief Executive Officer of the IILM, said: “We are pleased to start the year on a strong and positive note, with today’s first transaction of the year witnessing a healthy coverage ratio and its competitive yield reflecting a strong demand for high quality Shari’ah-compliant liquidity instruments.”

The IILM is a regular issuer of short-term Ṣukūk across varying tenors and amounts to cater to the liquidity needs of institutions offering Islamic financial services. The total amount of IILM Ṣukūk outstanding is now USD 3.51 billion. 

The IILM will continue to reissue its short-term liquidity instruments monthly as scheduled in its issuance calendar.

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IF NEWS