Jordan issues local currency sukuk in boon for banks


18-10-2016 05:17 AM

Ammon News - AMMONNEWS - Jordan’s government has raised 34 million dinars ($47.9 million) in its first issue of a local currency sukuk for its own funding purposes, a deal that will benefit the country’s Islamic banks, the government said on Monday.

The Islamic bonds, which use a common sale and leaseback format known as ijara, have a tenor of five years and an expected profit rate of 3.01 per cent. Jordanian finance minister Omar Malhas said the issue, which was more than three times subscribed, priced inside the country’s conventional bond curve — a sign of strong demand.

“The sovereign issuance is of great significance for the kingdom’s four full-fledged Islamic banks, because it will give them a badly needed tool to manage their excess liquidity, estimated to be 1.4 billion dinars,” he said in a statement.




  • no comments

Notice
All comments are reviewed and posted only if approved.
Ammon News reserves the right to delete any comment at any time, and for any reason, and will not publish any comment containing offense or deviating from the subject at hand, or to include the names of any personalities or to stir up sectarian, sectarian or racial strife, hoping to adhere to a high level of the comments as they express The extent of the progress and culture of Ammon News' visitors, noting that the comments are expressed only by the owners.
name : *
email
show email
comment : *
Verification code : Refresh
write code :