The Securities and Exchange Commission, SEC, has said the Nigerian government issued six sovereign sukuk worth N1.1 trillion, which is the same as $657.6 million, to finance 124 federal road projects.
The Director General of SEC, Emomotimi Agama, disclosed this on Thursday at the 2nd International Islamic Capital Market Conference in Karachi, Pakistan.
Agama said the road projects covered over 5,820 kilometres across the six geopolitical zones of the country.
He said the success rate made the Islamic Capital Market (ICM) stand out as a resilient and innovative tool for mobilising resources.
Agama described the issuance of sovereign Sukuk in 2017 as a key pillar responsible for the growth of the ICM in the country.
The DG said that the issuance had consistently been oversubscribed, with the subscription rate reaching as high as 441 percent.
He disclosed that sub-national and corporate Sukuk issuances were also growing in the country.
According to him, Nigeria can boast of 14 Halal mutual funds with a net asset value exceeding N105 billion as of November 2024.
”Beyond Sukuk, the ICM segment in Nigeria offers diverse investment opportunities.
”From one registered fund in 2008, the segment currently boasts of 14 registered Halal mutual funds with a net asset value exceeding N105 billion as of November 2024.
”The NGX Lotus Islamic Index tracks 11 Shariah-compliant equities, while Nigeria’s first Islamic Real Estate Investment Trust—ChapelHill N-REIT—highlights the potential of real estate investments.
”The prospects for Nigeria’s Islamic finance industry are underpinned by key growth drivers, both global and domestic,” he said.