UAE-based sharia-compliant Sharjah Islamic Bank (SIB) won the “2020 Sukuk Deal of the Year” at the 10th Global Islamic Finance Awards (GIFA) for its $500 million Sukuk issue in June 2020.
SIB’s 5-year Sukuk was priced at $500 million (AED 1.83 billion) with a profit rate of 2.85 percent per annum which earned it strong investment-grade ratings of A- by Standard & Poors and A3 by Moody’s.
The bank garnered an overwhelming response leading to a 7.2 times over-subscription valued at over $3.6 billion for the issuance which closed on 16 June 2020. SIB will utilize the funds raised from this issuance process for its general corporate purposes.
“We are delighted to be recognized at the Global Islamic Finance Awards, which is a testimony of the bank’s successful implementation of its policies. The Sukuk has achieved the best pricing globally, having competed with some of the largest traditional and Islamic banking institutions. This in turn has further helped strengthen the basic and total capital ratios of the bank, which will help achieve the targeted growth rate in the coming years.”
Mr. Mohammed Abdullah further added that “This is SIB’s 8th Sukuk issuance after launching its first Sukuk in 2006, confirming the bank’s credibility despite the current exceptional circumstances. This award also contributes to enhancing the image of the bank across global financial markets and providers of strong financial tools. The award helps us strengthen our profile both as a regular issuer, providing a financial instrument which is investment grade in nature as well as generating enhanced opportunity for future business.”
Sharjah Islamic Bank
Sharjah Islamic Bank is constantly striving to provide all electronic services and facilities, designed to meet the requirements of the retail and corporate customer base during the current period.
The bank seeks to extend support to the nation, under the slogan ‘We Commit Until We Succeed, that aligns with the UAE Vision 2021 aimed at building a creative, high standard and competitive knowledge-based economy.
Global Islamic Finance Awards (GIFA)
The Global Islamic Finance Awards is one of the most respected awards in the field of Islamic banking and finance that recognizes the outstanding contributions made by governments, institutions and individuals to contribute to the sustainability of Islamic banking and finance, as a viable system within the global financial architecture.