Oman Plans Second Sukuk Sale for 2021 to Support Substantial Funding Requirements 

Oman has stated its plans to issue USD 1.5 billion in nine-year Sukuk, which will mark its second Sukuk issuance for 2021, according to an official document. The deal which launched on the 8th of June 2021 has hired Citibank, HSBC, Standard Chartered, Bank ABC and Bank Muscat as arrangers.

Why it Matters?

Low oil prices and the on-going impact of COVID-19 means that Oman expects to continue to have significant financing requirements, according to the prospectus. Oman is capitalising on investor demand for high-yielding bonds, amidst its public finances crisis, as it seeks to manage a large budget deficit. The country’s deficit is forecast at OMR 2.23 billion, or 8.6% of Oman’s gross domestic product (GDP) in 2021, reducing to OMR 1.66 bi...