Kuala Lumpur, Malaysia: The International Islamic Liquidity Management Corporation (IILM), the world’s leading issuer of Shari’ah-compliant short-term liquidity management instruments, is pleased to announce that its outstanding short-term Ṣukūk portfolio has reached a new record high of USD 6.05 billion.

The increase in underlying assets comes follows the IILM’s recent upsizing of its Ṣukūk Programme from USD 6 billion to USD 8.5 billion, enhancing its capacity to meet rising global demand for Shari’ah-compliant liquidity instruments. This development reinforces the IILM’s pivotal role in strengthening financial stability and resilience within the Islamic finance ecosystem.

Mohamad Safri Shahul Hamid, Chief Executive Officer of the IILM, said: “Following the upsize of our Ṣukūk Programme, we are delighted to onboard a new short-term asset under a new asset funding format, bringing the IILM’s outstanding Ṣukūk to an all-time high of USD 6.05 billion.”

“This achievement underscores the sustained and growing demand from our global investor base and reaffirms the IILM’s commitment to providing a diversified range of high-quality, Shari’ah-compliant instruments that address the evolving liquidity needs of Islamic financial institutions worldwide.”

The milestone follows today’s successful issuance and reissuance of an aggregate USD 1.125 billion short-term Ṣukūk across four different tenors of one, three, six, and twelve -months, respectively.

The four series were priced competitively as follows:

1. 4.20% for USD 375 million for 1-month tenor;
2. 4.10% for USD 450 million for 3-month tenor;
3. 4.30% for USD 245 million for 6-month tenor; and,
4. 3.80% for USD 55 million for 12-month tenor. 

The transaction marks the IILM’s eighteenth Ṣukūk auction year-to-date (YTD), bringing total issuances to USD 18.76 billion across 56 Ṣukūk series of varying maturities. The issuance forms part of the IILM’s USD 8.5 billion short-term Ṣukūk Issuance Programme, rated “A-1” by S&P Global Ratings and “F1” by Fitch Ratings.

The auction attracted robust demand from the IILM’s network of Primary Dealers and a diversified base of global investors, generating total bids of USD 2.9 billion and achieving a strong average bid-to-cover (BTC) ratio of 2.55 times, underscoring the continued role of the IILM Ṣukūk as a premier high-quality liquidity management instrument for Islamic financial institutions worldwide.

“Amid heightened global uncertainty and renewed trade tensions, this record level of outstanding Ṣukūk further cements the IILM’s position as a cornerstone of Islamic liquidity management and demonstrates our unwavering commitment to supporting the stability and resilience of the global Islamic financial ecosystem,” Safri added.

The IILM’s short-term Sukῡk is distributed by a diversified and growing network of primary dealers globally, namely Abu Dhabi Islamic Bank, Al Baraka Turk, Affin Islamic Bank, AlRayan Bank, Boubyan Bank, CIMB Islamic Bank Berhad, Dukhan Bank, First Abu Dhabi Bank, Golden Global Investment Bank, Kuwait Finance House, Kuwait International Bank, 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.