Turkiye Finans gets nod for 71 mln lira sukuk


Turkish Islamic lender Turkiye Finans has received regulatory approval to raise 71 million lira ($31.5 million) via sukuk, or Islamic bonds, according to Turkey's Capital Markets Board.

The sukuk will be issued through TF Varlik Kiralama, a wholly-owned unit of Turkiye Finans, which last year set up a 100 million lira sukuk issuance programme. No time frame was given for the deal.

The bank, majority owned by Saudi Arabia's National Commercial Bank, is one of four Islamic banks in the country, with a sole focus on loans to corporate clients.

Sukuk are increasingly being used by Islamic banks as the industry expands, helping diversify funding sources away from syndicated loans. As of September, Turkiye Finans saw assets grow by 35.4 percent from a year earlier.

The bank also plans to issue by year end $50 million worth of ringgit-denominated sukuk in Malaysia, a market which it first tapped in July.

Separately, three Turkish state-run banks plan to launch their own Islamic units, moves which are expected to increase competition in the sector and raise operating costs for incumbents. ($1 = 2.2216 Turkish lira)- Reuters
Article type: metered
User Type: anonymous web
User Status:
Campaign ID: 1
Cxense type: free
User access status: 0
Subscribe now to our Premium Plan for an ad-free and unlimited reading experience!
   

Next In Business News

SMRT proposes to acquire remaining stake in NTS for RM72mil
MNRB records higher 3Q net profit of RM71.23mil
Ringgit ends lower as US non-farm payrolls shocks Asian foreign exchange
Willowglen secures RM11.92mil contract in Singapore
RHB revise upwards 2022 GDP growth forecast to 8.5%
Aemulus posts net loss of RM4.8mil in 1Q
KLCI tumbles 14.09 points, 730 stocks in the red
AirAsia to lease 15 new planes to meet demand driven by China's reopening
BP profit soars to record US$28bil, dividend increased
Bed Bath & Beyond's road to potential bankruptcy

Others Also Read