Leading Omani bank Nizwa has successfully managed the issuance of the 11th series of local sovereign sukuk issued by the Government of the Sultanate of Oman, represented by the Ministry of Finance.
Bank Nizwa’s assumption of this leading role reflects its expertise and pioneering position in the Islamic finance sector, as well as its ongoing efforts to provide innovative sharia-compliant financial solutions.
The Government of Oman, represented by the Ministry of Finance, recently announced the completion of the sukuk issuance with a total value of RO120 million. The sukuk subscription was opened on June 4, with an option to increase the issuance size by up to RO20 million, offering a yield of 4.2% for a five-year tenor.
Total demand reached approximately RO250 million, reflecting strong investor interest that exceeded the size of the issuance. The sukuk certificates, structured as Ijara sukuk, offer semi-annual profit distributions. The sukuk are listed on the Muscat Securities Market, enhancing market liquidity and accessibility.
On the successful issuance, CEO Tariq Atiq said: "The successful completion of this issuance reflects Bank Nizwa’s strong capabilities in structuring and executing shariah-compliant financial transactions, as well as its active role in supporting the Sultanate’s strategic financing requirements."
"We remain committed to advancing Islamic finance through innovative solutions that meet the evolving needs of our customers while contributing to the development of Oman’s Islamic finance ecosystem. This issuance marks another important milestone in our journey to strengthen our position as a leading provider of Islamic investment banking solutions and to support the Sultanate’s economic growth and diversification ambitions," he stated.
"The continued success of such issuances contributes to enhancing financial stability, broadening the investor base, and improving the efficiency of public debt management, in line with Oman’s long-term economic development objectives," he added.
Bank Nizwa said its leading role as joint issue manager and collecting bank, not only demonstrates its commitment to providing innovative Islamic finance and investment solutions but also reflects its dedication to facilitating strategic financial transactions that support sustainable growth and national prosperity.
These achievements further highlight the bank’s expertise and efficiency in managing complex transactions, reinforcing its position as a trusted and leading partner in the Islamic financial market, it added.-TradeArabia News Service
