Ijarah Sukuk worth N150 billion were made available for subscription by the Debt Management Office (DMO).
DMO announced this on Tuesday in a statement.
It is for this reason that the Federal Government of Nigeria (FGN) Roads Sukuk Company PLC is the official issuer of this bond.
The Sukuk were advertised as being available for N1,000 per unit, with a N10,000 minimum subscription and subsequent subscriptions in N1,000 increments.
The Ijarah Sukuk is supported by the full faith and credit of the Federal Government, DMO emphasized.
The Financial Regulation Advisory Council of Experts of the Central Bank of Nigeria (CBN) also confirmed that Sukuk, a Sharia-compliant instrument, is a liquid asset.
Payment of rent is due every six months, and repayment of the bullet is due on the note’s maturity date.
Key road projects and bridges across the country’s six geopolitical zones will be built or repaired with the proceeds.
According to the Trustee Investment Act, “it meets the requirements for securities that trustees may invest in.”
To qualify as government securities for purposes of tax exemption for pension funds and other investors under the Company Income Tax Act and the Personal Income Tax Act.
To be listed on the Nigerian Exchange Limited and the FMDQ Securities Exchange Limited.