IslamicFinance.de

L’Etat de Côte d’Ivoire procédera le 7 mars 2020 au paiement des profits semestriels et au remboursement partiel du capital de son Sukuk Etat de Côte d’Ivoire 5,75% 2016-2023 pour un montant global net d’impôt de 18,488 milliards de FCFA (27,732 millions d’euros). Les profits s’élèvent à 3,488 milliards de FCFA et le principal à 15 milliards de FCFA. L’Etat ivoirien avait lancé durant la période du premier au 31 août 2016 un appel public à l’épargne le sur le marché financier de l’Union monétaire ouest africaine (UMOA), pour un montant de 150 milliards de FCFA (225 millions d’euros). Le montant levé était destiné au financement de projets de développement économique et social de la Côte d’Ivoire.

The Islamic Corporation for the Development of the Private Sector (ICD) and Afriland First Bank have signed an agreement in which both parties will cooperate to establish an Islamic Window in Ivory Coast. The cooperation reflects ICD's ambition to promote Islamic Finance in its member countries and support its growing presence and activities in Africa. The agreement was signed by Khaled Mohammed Al-Aboodi, CEO and Managing Director of ICD and Olivier Dadjeu Kengne, CEO and Managing Director of Afriland First Bank Ivory Coast. Both directors expressed their strong support for the partnership. The partnership with ICD aims to diversify Afriland First Bank's activities and meet the needs its customers, particularly the needs of a large Muslim community, which is actively involved in trades.

Senegal raised FCFA200bn (around $341m) from a sukuk that raised FCFA50bn more than originally planned. Sukuk Etat du Senegal offers 6% a year profit margin, paid half yearly with a two-year grace period. The asset is backed by shares in the Léopold Sedar Senghor international airport. Senegal was the first country in the West African Economic and Monetary Union’s (WAEMU) to issue sukuk, with a debt deal worth FCFA100bn back in June 2014. Ivory Coast aims to raise FCFA150bn as part of a two tranche FCFA300bn sukuk program set up last year. The transaction is expected to deliver a yield of 6.5% and have a tenor of seven years. Meantime, Togo also aims to raise FCFA150bn through a 10-year sukuk offering a 6.5% yield.

#Senegal has upsized its second sale of sovereign sukuk, with #Ivory Coast and #Togo expected to close their own deals in coming days. Senegal issued a debut sukuk in 2014 and returned to the market in July with a 10-year deal paying a 6% profit rate backed by assets from Dakar's international airport. Senegal's sukuk raised a total of 200 billion CFA francs ($341.5 million) from an initial plan for 150 billion CFA francs. Ivory Coast is completing a sale of 150 billion CFA franc worth of 7-year sukuk, while Togo aims to raise 150 billion CFA francs from its debut sukuk, which has a 10-year maturity and 6.5% yield. Niger has also signed up for a sukuk programme to raise 150 billion CFA francs in two phases, although a timing has yet to be determined.

Ivorian Prime Minister Daniel Kablan Duncan has appointed US law firm Cleary Gottlieb Steen & Hamilton to advise his government. The Abidjan branch of Deloitte, led by Marc Wabi and appointed by the Islamic Development Bank (IDB), will serve as auditor. Deloitte's job will be to certify the value of the Abidjan International Trade Centre's buildings.

Ivory Coast plans to complete a sale of 150 billion CFA francs ($263 million) worth of Islamic bonds, following Togo's debut sale of sovereign sukuk launched last month. The two West African nations join Senegal in tapping the market for sukuk, expanding the use of Islamic financing options outside the Middle East and Southeast Asia. The Ivory Coast will sell the 7-year sukuk using ijara with the subscription period closing on Aug. 31. This represents the second phase of a 300 billion CFA franc sukuk programme set up last year by the Ivory Coast. Togo plans to complete the sale of its sukuk later this week, aiming to raise 150 billion CFA franc with a 10-year maturity and a 6.5% yield. The lead arranger for both the Togo and Ivory Coast sukuk is the Islamic Corporation for the Development of the Private Sector (ICD).

Hogan Lovells advised the Islamic Corporation for the Development of the Private Sector (ICD), as arranger, on the arrangement of an inaugural CFA 150 billion sukuk offering by the government of Ivory Coast. The debut sukuk is an amortising sukuk al-ijara targeted at local banks and institutional investors. The offering mirrors a successful Senegal sukuk that Hogan Lovells advised on in 2014. The team was led by the firm’s global head of Islamic finance, Rahail Ali, and partner Imran Mufti. They were assisted by debt capital markets partner Baptiste Gelpi, in, Paris and Lina Bugaighis, Dubai. Bensaid outlines the sukuk sector as very promising, referring to recent developments which have seen governments focusing more on creating a more enabling environment for sukuk issuances.

Plus de 67 milliards de Fcfa mobilisés hors Uemoa (45%), 55 milliards F cfa mobilisés en Côte d’Ivoire (37%) et 26 milliards de Fcfa dans l’espace Uemoa (17%). C’est le résultat de la première tranche de la levée de fonds sur la finance islamique, dénommée « Sukuk Etat de Côte d’Ivoire 5,75% 2015-2020 ». Lancée en novembre 2015, sous la présidence du Premier ministre Daniel Kablan Duncan, le Sukuk qui s’inscrit dans un programme quinquennal pour un montant de 300 milliards Fcfa, est repartie en deux phases de 150 milliards chacune. Arrangée par la Société islamique de développement (Sid), cette levée de fonds, qui affiche un titre minimum de 10.000 Fcfa pour un taux d’intérêt de 5,75% l’an, a permis à la Côte d’Ivoire d’être primée « Sukuk deal of the year » et « Africa deal of the year » par le journal Islamic Finance News.

Ivory Coast offers inaugural CFA 150 billion Sukuk. The Sukuk is an amortising Sukuk al-Ijara and is targeted at local banks and institutional investors. It mirrors the Senegal Sukuk that Hogan Lovells advised on in 2014. Hogan Lovells' team was led by Global Head of Islamic Finance, Rahail Ali and Partner Imran Mufti. They were assisted by Partner Baptiste Gelpi, International Debt Capital Markets, Paris and Lina Bugaighis, Dubai. Hogan Lovells worked togehter with ICD for the issue. Imran Mufti commented that more sukuk from African issuers are expected in the near future. Zaky Sow, Sukuk Project Manager for ICD added that the Sukuk opens up a whole new stream of investment into the country.

Five year 150 billion CFA issuance sukuk priced at a profit rate of 5.75%
The Ivory Coast is to become the latest state to issue a Sovereign Sukuk as it today launched its debut five year 150 billion CFA issuance sukuk priced at a profit rate of 5.75%. The addition of the Ivory Coast displays the continued growth of the Islamic finance market into Africa and represents a highlight in quiet year for sukuk issuance’s with total issuance volumes down considerably due to tightening of liquidity in traditional Islamic financial markets of the Gulf and South East Asia.
The sukuk is being arranged by the Islamic Corporation for Private Sector Development (ICD). The ICD signed an agreement in April 2015 for the implementation of a five-year Sukuk programme for 300 billion CFA to be issued in two equal phases of 150 billion CFA each. A road show was held in Saudi Arabia from 14 to 19 November and followed a recent upward revision of the Ivory Coast’s sovereign rating by Moody’s from B1 to Ba3.

The introduction of Islamic finance could be boon to development in Africa, say experts. Beyond the religious aspect, Islamic finance has been identified by many experts as a way to avoid the risks associated with speculation. Global ratings agency Standard & Poor’s (S&P) said in a recent report that new regulations and fiscal incentives could accelerate Islamic finance development in Africa, which could help the continent fund its infrastructural needs. Aware of the challenges, the African Institute of Islamic Finance has launched several initiatives aimed at developing the Islamic Finance sector. Besides, Ivory Coast is about to issue its first Sukuk in the amount of 350 billion CFA francs (roughly $700 million) with the support of the IDB.

La Cote d’Ivoire s’apprête, après l’Afrique du sud et le Sénégal, à souscrire son premier emprunt obligataire (Sukuk) en vue de mobiliser 350 milliards de FCFA (environ 534 millions d’euros). Le pays compte sur l’appui de la Banque Islamique de Développement (BID). En Côte d’Ivoire, le gouvernement travaille, en partenariat avec la Société islamique pour le développement du secteur privé (Sid), à l’élaboration d’un programme quinquennal de mobilisation de ressources sous forme de Sukuk. La première émission est prévue pour fin 2015.

Ivory Coast will launch the first tranche of a previously announced Islamic bond programme this year, government spokesman Bruno Kone said on Wednesday. The local currency sukuk bond will be for 150 billion CFA francs ($252 million). In April, Ivory Coast announced that it would conduct a 300 billion CFA franc ($504 million) Islamic bond programme in two phases between 2015 and 2020. African countries are increasingly tapping the sukuk market for funding to take advantage of rising demand for Islamic paper among investors in the Middle East and southeast Asia.

The Islamic Corporation for the Development of the Private Sector and the Government of Cote d’Ivoire are co-hosting the Islamic Finance Forum on 17-18 September 2015. The event aims at stimulating development of the local and international market of Islamic finance in Africa and particularly in Côte d’Ivoire in line with government’s National Development Plan 2016-2020 and to explore cross border trades between international investors and African nations through opportunities made available through Islamic finance. This invitation-only event is designed for the benefit of local and international market players to explore the development opportunities in Islamic finance both in the Cote d’Ivoire, locally and regionally.

The Islamic Corporation for the Development of the Private Sector (ICD) will lead manage a 300 billion CFA franc ($480 million) Islamic bond programme for Ivory Coast. The programme will issue Ivory Coast's first sovereign sukuk in order to finance development projects. It will be conducted in two equal phases of 150 billion CFA francs and extend from 2015 to 2020, the ICD said in a statement. As lead manager, the ICD will structure the sukuk programme, appoint and coordinate other consultants, liaise with government officials and oversee the entire process of the offer, it said. Senegal and South Africa issued their first sukuk last year, while Niger's government plans to establish an Islamic bond programme and Nigeria has been considering an issue.

Ivory Coast has signed an agreement for Islamic-finance bond as it seeks to raise money for infrastructure. The Islamic Corp. for the Development of the Private Sector (ICD) will oversee the 300 billion-CFA franc ($490 million) sukuk. The program will be implemented in two tranches, each worth 150 billion francs, between this year and 2020. The sukuk will be an “alternative financing means for developmental” projects, Ivorian Minister Delegate to Finance Niale Kaba said, without giving details on what the funds will be used for. Ivory Coast joins a growing number of sub-Saharan African nations tapping Islamic finance debt markets seeking cash for development projects.

Nigeria and Ivory Coast have begun negotiations with the Islamic Corporation for the Development of the Private Sector (ICD) for sukuk issuance. According to the ICD head Khaled Al-Aboodi, the two countries are looking to emulate Senegal’s successful move into the market for Islamic bonds. Al-Aboodi added that they were exploring with Nigeria and Ivory Coast. The issuance by Senegal has opened up the whole region, he said. The ICD hopes to support at least two countries in 2015 to issue a sukuk. Meanwhile, Niger has signed up for a sukuk programme worth 150 billion CFA francs ($260 million), although the timing has yet to be determined.

The Arab Contractors (AC) has won a $30mln contract for the extension and modernization of the Abidjan International Airport cargo facilities in the Ivory Coast. The project is funded by the Islamic Development Bank and aims to create a commercial zone next to the airport, with a lodging area, hangars, a convention centre, a duty-free zone, office buildings, warehouses, exhibition halls, a shopping centre and housing for flying staff. Moreover, the Egyptian contractors will also have to refurbish the apron, renovate access roads and increase the terminal’s capacity from 11’000sqm to 26’000sqm.