The Islamic Corporation for the Development of the Private Sector (ICD), a subsidiary of the Islamic Development Bank (IDB) has announced on April 23rd to have been selected by the Ivorian government as lead arranger of issuance of 300 billion CFA francs ($ 600 million) of sukuk.
The agreement on the sukuk issuance program was signed in Abidjan by the Ivorian Minister of Economy and Finance, nial Kaba (photo), and the General Director of the Islamic Corporation for the Development of the private sector, Khaled Al Aboodi.
The program will be implemented in two phases of 150 billion CFA francs each, during the period 2015-2020 in order to finance development projects.
Acting as lead arranger, the Islamic Corporation for the Development of the private sector will be responsible for structuring the transaction, select the different stakeholders, coordinate and liaise with government officials to oversee the entire process program execution.
“The IDB is committed to work closely with the Government of the Republic of Côte d’Ivoire to ensure the success of the program. Our ultimate goal is to develop the capital market according to the principles of Islamic finance in Côte d’Ivoire in order to reduce the financing requirements for development projects, “said Khaled Al Aboodi on the occasion of the signature of the agreement relating to the transaction.
“The sukuk program is in line with the objective of the Republic of Côte d’Ivoire, which is to identify alternative methods of financing for development projects which implementation would facilitate the achievement of the objectives of the economic emergence 2020 here, ” Said Nial Ms. Kaba.
Several African countries are interested in the sukuk market. After South Africa and Nigeria, which have made their first steps in this market in 2014, Niger, Nigeria and Tunisia are preparing to issue Islamic bonds for the first time.