This announcement was made by Ms. Patience Oniha, the Director-General of the Debt Management Office, during an investors' forum in Abuja that these 53 road projects collectively span over 3,000 kilometers.
Ms. Oniha mentioned that the tolls collected from these roads would be utilized to repay the Sukuk. Sukuk is an interest-free, asset-backed bond grounded in Islamic finance principles. She emphasized the government's dedication to responsible borrowing through project-oriented Sukuk, which has already contributed to tangible road and bridge developments.
Highlighting the critical role of infrastructure in driving economic growth, Ms. Oniha stated, "Infrastructure is an enabler of economic development." She expressed confidence that the N150 billion Sukuk issuance would attract strong investor interest, and any surplus funds generated would be allocated to available projects.
She said, “The government and people involved believe in the use of Sukuk and plan to continue offering it every year. The hope is that ethical investors will invest in the Sukuk.”
She invited ethical investors to take advantage of the opportunities present in sukuk to participate in subscribing to the offer. She encouraged widespread participation, highlighting that Sukuk VI’s proceeds would fund projects across the country’s six geopolitical zones.
The DMO boss noted that banks are interested in sukuk because of “its tax-exempt status and the liquidity it affords them”.
