Qatar Int’l Islamic Bank readies $2b sukuk programme

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London

Qatar International Islamic Bank has finished creating a $2 billion sukuk issuance programme and is preparing to issue its first bond from the scheme when market conditions improve, a source familiar with the matter told Reuters. The source did not elaborate on the timing of the first issue. Qatari borrowers’ access to international bond markets has become trickier since Saudi Arabia, the United Arab Emirates, Bahrain and Egypt cut diplomatic and transport ties with Qatar in June. Qatari banks have steered clear of public debt markets since the crisis erupted, largely because of the risk that it might affect investor demand and pricing. Instead, banks have turned to privately placed bond and sukuk deals, as well as bilateral loans, to secure funding.—Reuters