KUALA LUMPUR (April 18): The International Islamic Liquidity Management Corporation (IILM) has successfully reissued a total of US$1.28 billion short-term “A-1” rated sukuk across three different tenors of one, three, and six-month respectively.

In a statement Monday (April 18), it said the sukuk issuance marks the IILM’s fourth sukuk auction for 2022. 

The auction garnered significant interest among Islamic primary dealers and investors across the Gulf Cooperation Council (GCC) markets, as well as Asia, it said. 

“Going into the second quarter of the year, we are mindful of the continued geopolitical uncertainties and its impact on the financial markets globally.

“Despite a challenging and highly volatile operating environment, we are pleased that the IILM is able to continue fulfilling the liquidity needs of the Islamic markets, with issuance for all tenors fully subscribed at competitive all-in profit rates,” IILM CEO Dr Umar Oseni said. 

IILM added that the competitive tender witnessed a strong orderbook in excess of US$1.64 billion, representing an average bid-to-cover ratio of 128%.

“Further to today’s reissuance, the IILM has achieved year-to-date cumulative issuances totaling US$4.69 billion, through twelve sukuk series. The IILM will continue to reissue its short-term liquidity instruments monthly as scheduled in its issuance calendar,” it said. 

“The total amount of IILM sukuk outstanding is now US$3.51 billion. The IILM short-term sukuk programme is rated ‘A-1’ by S&P,” added IILM.