AlRayan Investment LLC, a subsidiary of AlRayan Bank, served as a Joint Lead Manager in the State of Qatar’s recent $3 billion sukuk issuance. This marks Qatar’s return to international sukuk markets after 13 years.
The Ministry of Finance led the transaction, which attracted over $12 billion in demand from global investors. The sukuk is rated Aa2/AA/AA by Moody’s, Standard & Poor’s, and Fitch respectively. It matures in November 2035 and carries an annual coupon rate of 4.25%. The spread over 10-year US Treasury yields was set at 0.20%, which is the tightest for any international sukuk to date.
Fahad Bin Abdulla Al Khalifa, Group Chief Executive Officer of AlRayan Bank, stated: “The issuance marks a significant milestone for the State of Qatar in international debt capital markets, and AlRayan is honoured to have advised the Ministry of Finance on this landmark transaction.”
He also commented that “this remarkably successful issuance is a testament to Qatar’s continued leadership in global fixed income markets and reflects the strength of investor confidence in the nation’s long-term economic vision.”
According to Akber Khan, Acting Chief Executive Officer of AlRayan Investment: “We are proud to have advised the Ministry of Finance on this historic sukuk transaction and thank them for their trust in helping the State achieve its financial objectives.”
Other financial institutions involved as joint lead managers included Citigroup Global Markets Limited, Deutsche Bank, Dubai Islamic Bank, Emirates NBD Bank, Goldman Sachs, Intesa Sanpaolo, KFH Capital, QNB Capital LLC, Standard Chartered Bank, and The Islamic Corporation for the Development of the Private Sector.
The successful completion highlights Qatar’s commitment to maintaining its presence in international Islamic capital markets and its ongoing engagement with global investors.
