Sukuk market set to heat up in 2012 with potential sovereign issue

SAUDI ARABIA: The country's Sukuk market is set to heat up next year with a potential issuance of a sovereign riyal-denominated Islamic bond.

According to reports, the kingdom's central bank, the Saudi Arabian Monetary Agency (SAMA), is in talks with several local and international banks on the details of a sale which could come to market as early as the first quarter of 2012.

The news emerged just a day after its General Authority of Civil Aviation announced that it will issue a Sukuk by February next year to finance the construction of its new airport in Jedah; a project that will cost US$7.2 billion.

QUOTED FROM ISLAMIC FINANCE NEWS