Kuwait Finance House has been declared the first primary dealer in the IILM sukuk program. In addition, KFH achieved the No. 1 dealer tier in the secondary market in 2021. It is an unprecedented event for a financial institution to hold the No. 1 dealer tier for the IILM Sukuk program in both the primary and secondary market.
KFH – Kuwait GM – Treasury, Ahmed Essa Al-Sumait pointed out that KFH ranked first in the primary IILM Sukuk program, the size of which reached US$14.12 billion covering 36 Sukuks. Standard Chartered came in second while MayBank came in third.
Al-Sumait added that KFH was also recognized as the top-tier dealer in the IILM rankings for the secondary sukuk market with a total trade of US$1.514 billion in 2021, while First Abu Dhabi Bank is came in second and Standard Chartered Bank came in third. position among the top 10 traders covering the GCC and global banks.
Al-Sumait said that IILM’s sukuk program is an A-1 short-term sukuk program as rated by Standard & Poor’s and pointed out that IILM’s current sukuk program stands at 3 .51 billion.
Al-Sumait expressed his honour, pleasure and pride in accomplishing this outstanding achievement, reiterating that KFH’s rank as the top primary trader in both categories is deserved and reflects KFH’s outstanding role as a grader market and reinforces its pioneering role in the activation and development of the sukuk market.
He added that this achievement would not have been possible without the remarkable dedication of the Capital Markets Unit at the Treasury Department with 100% Kuwaiti professional leadership. He appreciated the tremendous efforts made by the team during the year.
He said KFH is honored to be able to rely on him to distribute IILM’s “A-1” rated Ṣukūk program to a broad base of investors. He indicated that IILM plays a critical role in meeting the liquidity needs of institutions offering Islamic financial services (“ISFIs”), as evidenced by the fact that 27% of total global USD Ṣukūk issuance in 2021 were provided by IILM, which makes the organization as one of the top USD Ṣukūk issuers in the world.
Al-Sumait reiterated that KFH will remain a strategic partner dedicated to promoting the development of the Islamic finance industry, through participation in IILM’s Ṣukūk issuance program.
He indicated that the group’s treasury and financial institutions sector will continue its efforts to develop investment and trading activities in the primary and secondary capital markets in order to strengthen its position as the first active market maker. The sector has managed to achieve widespread and remarkable progress in successfully encouraging several Islamic and traditional financial institutions to enter the market and participate in business transactions, thus contributing to improving liquidity and supporting Islamic financial markets.
At the same time, the International Islamic Liquidity Management (IILM) praised and appreciated KFH’s contributions and strong performance in the sukuk market, as well as the high professionalism it has shown in marketing sukuk issues, and s is delighted to continue this collaboration.