Sukuk oversubscription reflects strong market confidence in govt’s policies: PM Imran
Statesman Report
ISLAMABAD: Prime Minister Imran Khan on Wednesday hailed the “landmark financial innovation” whereby the government raised Rs200 billion sukuk through competitive book building at the Pakistan Stock Exchange (PSX).
Taking to Twitter, the premier said the move had led to his government saving Rs18bn which could now be used for the people’s welfare.
A day earlier, it was reported that the government had obtained long-term borrowing below the Kibor due to a significant interest from investors in the Power Energy Sukuk–II (PES).
The Rs200bn sukuk was oversubscribed to Rs339 billion, around 70pc above the target offer, at minus 0.10pc for six months Kibor. This is the first time ever that the government has been able to borrow long term at less than the Kibor.
Commenting on the development, PM Imran said the oversubscription reflected “strong market confidence in the government’s policies”.