Ivory Coast selects ICD to issue a CFAF300 billion sukuk
As a lead arranger, this subsidiary of the Islamic Development Bank will be responsible for structuring the transaction.The Ivorian government has selected the Islamic Corporation for the Development of the Private Sector (ICD) to arrange a CFAF300 billion (€458 million) islamic bond (sukuk).
As a lead arranger, this subsidiary of the Islamic Development Bank (IDB) will be responsible for structuring the transaction, select the different stakeholders, coordinate and liaise with government officials to oversee the entire process of implementation of the program.
The project will be implemented in two phases of CFAF150 billion each over the 2015-2020 period, and aims to finance development projects.
"The ICD is committed to working closely with the Government of the Republic of Côte d'Ivoire to ensure the success of the program. Our ultimate goal is to develop the capital market according to the principles of Islamic finance in Ivory Coast in order to reduce the financing requirements for development projects," said Khaled Al Aboodi, the director of the ICD quoted by the Ecofin agency.
"The sukuk program is in line with the objective of the Republic of Ivory Coast, which is to identify alternative methods of financing for development projects whose implementation would facilitate the achievement of the objectives of the economic emergence by 2020," added Ivorian Minister of Economy and Finance, Nialé Kaba.
On March 17, Reuters reported that Ivory Coast and Nigeria had launched negotiations with the ICD in order to issue a sukuk.
The ICD also announced that Niger is looking to issue about CFAF150 billion in Islamic bonds.