Karachi: The Government of Pakistan has successfully concluded its Primary Market Auction for the issuance of Government of Pakistan Ijarah Sukuk (GIS), conducted through the Pakistan Stock Exchange (PSX) Auction System on July 23, 2025. This auction saw a substantial level of participation from market participants, with significant results in both competitive and non-competitive bidding categories.

The auction, aimed at issuing 1-Year Discounted Ijarah Sukuk, was set with a pre-auction target of 25.00 billion Pakistani Rupees. The auction date was July 23, 2025, with the issue and settlement date following closely on July 24, 2025. The auction drew in bids with a face value totaling 94,685.74 million Pakistani Rupees, with a realized amount of 85,993.44 million Pakistani Rupees.

According to information available from the Pakistan Stock Exchange (PSX), the competitive bidding drew in a face value of 32,750.00 million Pakistani Rupees with a realized amount of 29,782.85 million Pakistani Rupees, resulting in the same total realized amount. The cut-off rental rate set for these competitive bids was 9.9900%, with a cut-off price pegged at 90.9400.

In addition, the non-competitive bids accepted had a face value of 1,725.445 million Pakistani Rupees, with a realized and total realized amount of 1,569.12 million Pakistani Rupees. Both competitive and non-competitive bids adhered to the same cut-off rental rate and cut-off price as outlined.

The total acceptance from the auction reached a face value of 34,475.445 million Pakistani Rupees with a realized and total realized amount of 31,351.97 million Pakistani Rupees. The acceptance signifies a Big move in the market, reflecting a robust demand for government-backed securities.

This successful auction underscores the confidence of market participants in government securities and highlights the effective use of the PSX Auction System in facilitating the issuance of Ijarah Sukuk.