ISLAMABAD – The government is set to launch the issuance of USDollar-denominated Eurobonds and Sukuk in the international capital markets.
According to the finance ministry, the said program will initially cover aperiod of one year. For this purpose, the finance division plans to engagetwo consortia, each consisting of five financial institutions.
“The selected consortia are expected to guide, advise, manage, coordinateand execute the whole range of activities associated with the program,”said a statement.
Consortium – 1 shall consist of five conventional financial institutionsand shall assist in the issuance of Eurobonds.
Consortium-2 shall consist of five financial institutions, including atleast two Islamic financial institutions, and shall assist in issuance ofinternational Sukuk.
Whilst explaining the selection criteria for Consortium-1, the ministrysaid that the financial institution which will be ranked first shall beselected for the purpose. The financial institutional ranked second will begiven the option to match the lowest evaluated financial proposal. If itchooses so, it shall be selected as part of the consortium, otherwise, itshall be rejected.
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The process shall continue in this manner until five consortium members areselected. In case of a tie, the financial institution with a highertechnical score shall be given the option to become part of the consortium.
Regarding the selection of members of Consortium-2, the same process as inthe case of Consortium – 1 shall be followed except that at least twoIslamic financial institutions shall be selected as members of Consortium-2.
The ministry has invited proposals for the program and they are to besubmitted by October 14, 2019.
