The material on this site is for financial institutions, professional investors and their professional advisers. It is for information only. Please read our Terms & Conditions, Privacy Policy and Cookies before using this site. Please see our Subscription Terms and Conditions.


All material subject to strictly enforced copyright laws. © 2021 Euromoney, a part of the Euromoney Institutional Investor PLC.
Capital Markets

Euromoney innovations in Islamic finance 2016: Government of the Sultanate of Oman

OR250 million ($650 million) sukuk

Innovations Islamic 2016 196w
View award winners
Lead managers: Bank Muscat, Meethaq, Standard Chartered

This deal stands out for opening a new market. It was the first sukuk issue by the Sultanate of Oman and has the potential to kick-start the development of Islamic finance in a country that has been strangely lacking in it.

It helps, perhaps, that Gulf states suddenly need money for the first time in years. The low oil price has brought deficits to GCC states that have grown quite used to automatic surpluses, and Oman does not have the same hydrocarbon wealth as most of its peers.

Oman does have Islamic financial institutions, as well as Shariah funds and takaful (Islamic insurance) operators, and the sukuk would create a useful source for their excess funds. It would also create a benchmark for other Omani institutions – or the sovereign itself – to price against in future. And, of course, the government needed the money and Islamic liquidity is a very practical way to get it at an affordable level.

Upsized

The five-year issue of senior unsecured trust certificates pays 3.5%

You have reached premium content. Please log in to continue reading.

Read beyond the headlines with Euromoney

For over 50 years, our readers have looked to Euromoney to stay informed about the issues that matter in the international banking and financial markets. Find out more about our different levels of access below.

SUBSCRIBE ONLINE TODAY

Unlimited access to Euromoney.com and Asiamoney.com

Expert comment, long reads and in-depth analysis interviews with senior finance professionals

Access the results of our market-leading annual surveys across core financial services

Access the results of our annual awards, including the world-renowned Awards for Excellence

Your print copy of Euromoney magazine delivered monthly

£73.75 per month

Billed Annually

FREE 7 DAY TRIAL

Unlimited access to Euromoney.com and Asiamoney.com, including our top stories, long reads, expert analysis, and the results of our annual surveys and awards

Sign up to any of our newsletters, curated by our editors

LOGIN NOW

Already a user?

We use cookies to provide a personalized site experience.
By continuing to use & browse the site you agree to our Privacy Policy.
I agree