Islamic Development Bank plans $1.5 bln Sukuk issue

Jeddah-based Islamic Development Bank (IDB) plans to raise a $1.5 billion from a five-year Sukuk issue, Al-Eqtisadiah newspaper reported citing a document by one of the banks leading the transaction.

The financial institution, which has an AAA credit rating, offers investors a return of 40 basis points above average fixed and variable interest rates.

The primary managers are Credit Agricole CIB, Emirates NBD Capital, First Abu Dhabi Bank, Gulf International Bank, HSBC, JP Morgan, Natexis Banque and Standard Chartered Bank.