Karachi, The Pakistan Stock Exchange hosted a primary auction for the issuance of Government of Pakistan Ijarah Sukuk (GIS) on April 25, 2024, with significant participation noted across various tenures. The auction results highlighted strong investor interest in both discounted and variable rental rate Sukuks.

In the auction detailed under Annexure A, the 1-Year Discounted Ijarah Sukuk attracted bids amounting to PKR 106,464.830 million, with the government accepting PKR 32,525.305 million at a cut-off rental rate of 19.999% and a cut-off price of 83.3721. Additionally, a smaller bid of PKR 519.455 million was also accepted at the same rental and price rates.

Annexure B reported the results for the 3-Year and 5-Year Fixed Rental Rate (FRR) Sukuks. The 3-Year FRR Sukuk saw a total bid of PKR 161.800 million, with PKR 91.600 million accepted at a cut-off rental rate of 15.8500% and a cut-off price of 100.3552. The 5-Year FRR Sukuk had bids totaling PKR 1,000.200 million, with PKR 880.000 million accepted at a cut-off rental rate of 15.4799% and a price of 99.9610.

Finally, Annexure C detailed the 3-Year and 5-Year Variable Rental Rate (VRR) Sukuk outcomes. The 3-Year VRR Sukuk received bids totaling PKR 114.200 million, with PKR 110.000 million accepted at a price of 100.0800. The 5-Year VRR attracted bids of PKR 110,631.200 million, with PKR 64,609.000 million accepted at a price of 98.5100.

These auction results reflect a robust appetite for GIS securities, with the accepted bids set to settle on April 26, 2024.