TAJBank Limited says it has received approval to begin a N100 billion Sukuk bond issuance.
The bank said it has received all regulatory approvals required for opening the Sukuk to the general public.
This is the first-ever non-interest private Sukuk bond offer in the nation’s capital market, the non-interest lender, said in a statement on Sunday. The bond will be listed on the Nigerian Exchange.
Speaking during the event at the bank’s headquarters in Abuja, the Managing Director/Chief Executive Officer, Mr Hamid Joda, invited the public to take advantage of the opportunity. He assured investors of good returns on their investment in the TAJBank Sukuk bond.
He said, “My message to the investing public is to take advantage of the opportunity in view of its potential for good returns. The instrument is coming out at an expected rate of 15 per cent. It is also an ethical instrument and there are very few ethical instruments out there and I believe a lot of investors are looking for instruments that have ethical leaning.”
The bank’s Executive Director, Mr Sheriff Idi said: “With the Sukuk bond issuance, we wanted to raise TAJ Bank’s capital base to about N30 billion by the end of the year and that means we can now finance those sectors that probably some initially thought we could not provide funding support. That is the essence of this Sukuk bond issuance.”
The bank’s Chairman, Alhaji Tanko Isiaku Gwamna, further clarified: “The funds raised through the Sukuk bond and innovative deployment to needy sectors of the economy will help to create jobs, boost economic activities and improve the non-interest banking sub-sector’s contributions to the nation’s Gross Domestic Product (GDP) growth in the years ahead.”
Ifunanya Ikueze is an Engineer, Safety Professional, Writer, Investor, Entrepreneur and Educator.