Japan joins the Sukuk party

Japan’s Bank of Tokyo-Mitsubishi UFJ is set to issue a two tranche Wakala Sukuk. At present the bank is allowed by the regulator in Japan only to handle Islamic financial transactions out of Malaysia through a subsidiary called BTMU Malaysia. BTMU will issue the Sukuk in a $25m US$ tranche and a 2.5bn yen tranche with both tranches carrying maturities of one year. CIMB Investment Bank is managing the issues.