Kuala Lumpur, Malaysia – 4 February 2025

The International Islamic Liquidity Management Corporation (IILM), an international organisation that develops and issues short-term Shari’ah-compliant financial instruments, has successfully completed the reissuance of an aggregate USD 1.05 billion short-term Ṣukūk across three different tenors of one, three, and six-month respectively.

The three series were priced competitively at:
i) 4.44% for USD 400 million for 1-month tenor;
ii) 4.45% for USD 400 million for 3-month tenor; and,
iii) 4.40% for USD 250 million for 6-month tenor.

The IILM’s Ṣukūk reissuance today saw a competitive tender amongst the Primary Dealers and Investors globally, with a strong orderbook of USD 2.50 billion, representing an impressive average bid-to-cover ratio 238%.

Mohamad Safri Shahul Hamid, Chief Executive Officer of the IILM, said: “The outcome of today’s hugely successful auction clearly underscores the unwavering confidence of global Islamic investors in the IILM’s Sukūk as high quality Shari’ah-compliant liquidity solutions. The impressive demand across all the tenors, despite all the events that are unfolding globally, clearly reaffirms the critical role our instruments play in providing stability and flexibility for Islamic financial institutions globally.”

“The heightened global trade tensions have shifted investors’ preference (from riskier assets) towards safer instruments, such as the IILM’s short-term Sukūk, evidenced by the robust bid-to-cover ratio that has allowed us to price today’s offerings within our expectations. We are extremely pleased with the success of today’s auction and hopeful that it will pave the way for us to continue fulfilling our mandate in delivering tailored solutions that will help and facilitate global Islamic financial institutions manage their liquidity positions effectively and proactively.

The issuance forms part of the IILM’s “A-1” (S&P) and “F1” (Fitch Ratings) rated USD 6 billion short-term Ṣukūk issuance programme. The total amount of IILM Ṣukūk outstanding stands at USD 4.14 billion.

The IILM’s short-term Sukῡk is distributed by a diversified and growing network of 12 primary dealers globally, namely Abu Dhabi Islamic Bank, Al Baraka Turk, Affin Islamic Bank, Boubyan Bank, CIMB Islamic Bank Berhad, Dukhan Bank, First Abu Dhabi Bank, Kuwait Finance House, Maybank Islamic Berhad, Meethaq Islamic Banking from Bank Muscat, Qatar Islamic Bank, and Standard Chartered Bank.

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