Islamic Development Bank sells $1.5bn in five-year sukuk

The Islamic Development Bank has sold $1.5 billion in five-year sukuk. 

IsDB set the Islamic bonds’ spread at 55 basis points over midswaps, tightening 15 bps from where it began marketing the debt sale on Wednesday. 

The Jeddah-based development bank received over $1.65 billion in orders for the Islamic bonds, according to the document from one of the banks arranging the deal.

It hired Citi, Credit Agricole, Emirates NBD Capital, Gulf International Bank, HSBC, the Islamic Corporation for the Development of the Private Sector, Natixis, Societe Generale and Standard Chartered to arrange the issuance.

Proceeds will be used to finance projects in member countries responding to the coronavirus pandemic.