Ammon News - AMMONNEWS - Jordan chose the Islamic Corporation for the Development of the Private Sector (ICD), an arm of the Jeddah-based Islamic Development Bank, to support the country's debut sovereign issue of sukuk, the ICD said on Thursday.

The ICD will provide "transaction technical support" for the domestic issue of Jordanian dinar-denominated sukuk, which is expected this year, the ICD said in a statement.

The sukuk will be used to absorb excess liquidity held by Jordan's Islamic banks, which is estimated to total 1.4 billion dinars ($2 billion), the statement quoted Jordanian finance minister Umayya Toukan as saying.

Khaled Al-Aboodi, chief executive of the ICD, said the issue would help to develop Jordan's capital market and provide an alternative to its Treasury bills for investment by Islamic banks. No further details of the sukuk issue were given.

*Reuters