SBP raises Rs31bn from Islamic bond

KARACHI: Pakistan raised 31.17 billion rupees ($363 million) by selling Islamic bonds in the domestic market, the State Bank of Pakistan said on Monday.

The cut-off margin will be the benchmark six-month treasury bill weighted average yield. In the last treasury bill auction on Dec. 1, the weighted average yield for six-months was 13.3701 percent.

The issue, known as the Government of Pakistan Ijara Sukuk, is a three-year bond.

The central bank said in October, it planned to raise 80 billion rupees by selling Islamic bonds, with the first auction on Nov. 8, with settlement on Nov. 15, in which it raised 51.84 billion rupees ($604 million).

Settlement for the auction held on Monday will be on Dec. 20.