R400m target for second SA Islamic bond placement
Another market that can be tapped by SA to meet the ever-growing public sector borrowing requirement
Investors not familiar with the word “Sukuk” are almost certainly going to become more acquainted with it in the years ahead as banks and governments take advantage of the large pools of capital available for these shariah-compliant instruments.
This week Al Baraka bank, the SA arm of the Bahrain-based group which has assets of $25bn globally, announced it would look to raise as much as R400m via its second Sukuk issuance.
This follows its successful placement of R200m in 2018. The R400m issue will be raised in four lots of R100m over the course of the next fourteen months...