Sonali Bank invests Tk5.28bn in Sukuk

Staff Correspondent

7 January, 2021 12:00 AM printer

The state-owned Sonali Bank Limited has invested Tk 5.28 billion in the ever sharia-compliant bond Sukuk.

In the auction, a total of 39 applications including 36 banks and financial institutions and 2 individual customers, received bonds at a proportional rate where Sonali Bank was able to make significant investment.

Bangladesh Bank is the issuer of the bond on behalf of the government and has arranged first auction aimed to collect Tk 40 billion.

In contrast to the bond, the bank will receive a profit of 4.69 percent bi-annually and expected to increase its income.

At the end of the term, the government will purchase the entire project and will return the investment amount to the investors.

This five-year interest-free bond is the first in Bangladesh. The government will raise Tk 80 billion for the implementation of a safe water supply project across the country through Sukuk.