Karachi: In a significant move, the Pakistan Stock Exchange (PSX) has announced the 13th auction for the Government of Pakistan (GoP) Hybrid Sukuk and the 37th auction for the GoP Ijarah Sukuk. The auctions are scheduled to take place on Tuesday, August 4, 2026. This event is part of a broader effort to diversify the government’s funding sources through innovative Islamic financing structures.
The announcement, dated July 27, 2026, follows the PSX Notice# PSX/N-885, released on July 15, 2026, which revised the auction calendar for these financial instruments. The GoP Hybrid Sukuk combines an Ijarah Sale & Lease Back transaction with a Commodity Murabaha transaction, allocating 55% of proceeds to the former and 45% to the latter. Both the 3-year and 5-year Fixed Rental Rate (FRR) Hybrid Sukuk and the 10-year Fixed Rate Zero Coupon Ijarah Sukuk will be offered as fresh issues.
Eligible participants, including Broker Clearing Members (BCMs), Non-Broker Clearing Members (NBCMs), and Professional Clearing Members (PCMs) of the National Clearing Company of Pakistan Limited (NCCPL), are invited to take part in the auction. These participants can bid for their proprietary accounts, as well as for investors and funds under management.
According to information available from the Pakistan Stock Exchange (PSX), the auction will adhere to a structured timeline. Participants are required to submit their expression of interest and a 10% advanced cash amount between July 28 and July 31, 2026. The auction of all instruments, both competitive and non-competitive, will occur between 10:00 a.m. and 12:00 p.m. on the designated auction day. The final settlement of amounts is scheduled for August 5, 2026.
The Pakistan Domestic Sukuk Company Limited (PDSCL), through the Ministry of Finance, will issue these instruments. The target amount for each tenor is PKR 50 billion, and the fixed profit rates for the 3-year and 5-year Hybrid Sukuk have been set at 11.0000% and 11.5000%, respectively. There is no maximum bidding limit for competitive bids, while non-competitive bids have a ceiling of 0.25% of the pre-auction target amount or Rs. 500 million, whichever is lower.
The designated market category for this auction includes existing investors with CDC accounts, Roshan Digital Account holders, and new investors via CDC's Facilitation Account service. Notably, the auction system link is accessible at https://debt.psx.com.pk/, providing all necessary details and transaction structures for participants.
The PSX, CDC, and NCCPL are committed to ensuring a seamless auction process, facilitating communication through various contact points. The successful issuance of these Sukuk is anticipated to bolster the financial market's depth and offer diversified investment avenues for market participants.