Karachi: In a significant development on the financial front, the Government of Pakistan has issued several Ijarah Sukuk under its new scheme, as outlined in an official document released by the Pakistan Stock Exchange (PSX). The issuance took place on October 18, 2024, with plans for these instruments to be available for trading in the secondary market from October 23, 2024.

According to the details provided, the newly issued securities include various maturity terms ranging from one year to ten years, all of which are classified as fresh issues. Notably, the one-year Ijarah Sukuk is listed at a discount, maturing on October 20, 2025. The other securities, including three, five, and ten-year Sukuk, offer yields based on the Government Ijarah Sukuk Rate (GISR) with maturity dates set between 2027 and 2034.

The instrument details reveal competitive cut-off rental rates, with the one-year Sukuk starting at 11.798% and the ten-year Sukuk reaching up to 14.405%. Each Sukuk has a face value of Rs. 5,000, and the minimum transaction size in the secondary market is set at Rs. 5,000,000, with a maximum sell order capped at PKR 1,000,000,000.

According to information available from the Pakistan Stock Exchange (PSX), trading for these Sukuks will occur through the Jade Trading Terminal (JTT)—a BnB Enabled Terminal, which underscores the modernization and digitization efforts within Pakistan's financial markets. The listing is set to begin just days after the initial offering, with continuous auction and negotiated deals forming the basis of trading activities.

The clearing and settlement of these Sukuks will be managed by the National Clearing Company of Pakistan Limited (NCCPL), ensuring streamlined transactions and risk management. This initiative reflects the government's commitment to diversifying financial instruments available in the market and providing investors with varied opportunities in government-backed securities.