Kuala lumpur: The International Islamic Liquidity Management Corporation (IILM) has completed the reissuance of US$1.335 billion in short-term sukuk across five tenors: two weeks, one month, three months, six months, and nine months.
According to BERNAMA News Agency, the global issuer of shariah-compliant short-term liquidity instruments stated that the five series were competitively priced at 3.90 percent for US$251 million (two-week); 3.90 percent for US$432 million (one-month); 3.95 percent for US$379 million (three-month); 4.00 percent for US$218 million (six-month); and 3.95 percent for US$55 million (nine-month).
The auction attracted demand from global investors, with bids reaching US$3.061 billion, resulting in a strong 2.29 times oversubscription. This indicates a continued appetite for IILM's high-quality, short-term Islamic instruments despite prevailing market volatility.
Chief Executive Officer Mohamad Safri Shahul Hamid commented that in today's market, reliability is not just valued, it is scarce. IILM has positioned itself as the only consistent issuer of US dollar-denominated sukuk during this period of heightened uncertainty.
Since the outbreak of the West Asia conflict, IILM has delivered US$3.55 billion across three auctions, at a time when primary issuance has effectively stalled. This has positioned IILM not just as a participant, but as a critical anchor for the global Islamic liquidity market.
As institutions focus on liquidity resilience, IILM's role in facilitating cross-border liquidity flows has become more pronounced. Strong cash positions and sustained demand for carry strategies have maintained firm pricing.
With supply largely absent and alternatives limited, demand for IILM sukuk remained consistently strong, reinforcing the importance of regular issuance in supporting market stability and investor confidence. Mohamad Safri affirmed that the corporation will continue to issue with discipline and consistency, especially when markets need certainty the most.
Today's transaction marks IILM's seventh sukuk auction year-to-date, bringing total issuances in 2026 to US$8.035 billion across 32 sukuk series of varying maturities. All issuances were conducted under the IILM's US$8.5 billion short-term Sukuk Issuance Programme, rated 'A-1' by S and P Global Ratings and 'F1' by Fitch Ratings.
The IILM short-term sukuk is distributed by a diversified and growing network of 16 primary dealers globally, including Abu Dhabi Islamic Bank, Al Baraka Turk, Affin Islamic Bank, AlRayan Bank, Boubyan Bank, CIMB Islamic Bank Bhd, Dukhan Bank, First Abu Dhabi Bank, Golden Global Investment Bank, Jaiz Bank, Kuwait Finance House, Kuwait International Bank, Maybank Islamic Bhd, Meethaq Islamic Banking from Bank Muscat, Qatar Islamic Bank, and Standard Chartered Bank.
IILM regularly issues short-term sukuk in various tenors and amounts to meet the liquidity needs of institutions offering Islamic financial services. The organisation will continue to reissue its short-term liquidity instruments monthly, as outlined in its issuance calendar.