Africa Bonds

Global sukuk issuance in 2013 has lagged 2012’s record levels by some way, with the gap growing wider in recent months. But a strong end to the year, led by large sovereign deals, could help reduce the shortfall.

The Islamic Development Bank has agreed a €750m facility for Pakistan – by far its biggest loan to the country to date, according to IFIS data. Meanwhile, Nigeria has asked IsDB for a $450m loan.

Euromoney Conferences will examine Jordan's new sukuk bill when it returns to Amman on September 17 for the third Euromoney Jordan Conference. The event will be held with both the patronage and presence of Jordan’s prime minister Abdullah Ensour.

It has hit more than a few bumps along the way but the International Islamic Liquidity Management Corp’s plans to issue sukuk commercial paper — the first of its kind in the Islamic market — finally look to be coming good. The company said on Thursday that it will issue a $490m debut this month, after more than 2-1/2 years of work on the project.

First Bank of Nigeria priced the first dollar tier two bond from the country in over six years on Wednesday, and analysts are expecting its peers to follow. But the deal achieved only a modest oversubscription and relied on the domestic bid for support. First Bank’s weaker compatriots could find it hard to drum up international interest without offering prohibitive premiums.

Eskom drew $4bn in orders for its $1bn 10 year bond on Tuesday. Analysts argued the issuer was generous with its pricing, but bookrunners countered it offered the same concession as many other CEEMEA credits and wisely took advantage of a stable window in an uncertain market.

Banque Centrale de Tunisie, the central bank of Tunisia, priced a 10 year Samurai bond on Wednesday guaranteed by the Japan Bank for International Cooperation. The size fell short and the pricing wide of the issuer’s last Samurai deal, though bankers involved with the trade said the result was positive given the instability in North Africa throughout 2013.

First Bank of Nigeria priced the first dollar tier two bond from the country in over six years on Wednesday, and analysts are expecting its peers to follow. The deal achieved only a modest oversubscription, but syndicate bankers suggested this was down to tight pricing.

The International Islamic Liquidity Management Corp will this month issue $490m of sukuk commercial paper — the first of its kind in the Islamic market — after more than 2-1/2 years of work on the project.

Eskom drew $4bn in orders for its $1bn 10 year bond on Tuesday, although analysts argued the issuer was generous with its pricing.

First Bank of Nigeria is aiming to price its tier two dollar bond on Wednesday afternoon and already has enough orders for a benchmark print, said bankers working on the deal.

Banque Centrale de Tunisie, the central bank of Tunisia, priced a 10 year Samurai bond on Wednesday guaranteed by the Japan Bank for International Cooperation. The size fell short and the pricing wide of the issuer’s last Samurai deal, though bankers involved with the trade said the result was positive given the instability in North Africa throughout 2013. The deal followed Mexico’s own triple-tranche Samurai deal, which was priced on Tuesday.