Nakheel’s Trade-Creditor Bond to Boost Trading: Islamic Finance
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Nakheel PJSC’s plan to offer Islamic bonds to creditors may revive sukuk trading in the Persian Gulf after new sales fell to a five-year low, according to Moody’s Investors Service and Mashreq Capital DIFC Ltd.
Nakheel, controlled by state-owned Dubai World, may issue as much as $3.2 billion of five-year sukuk to pay contractors as part of its debt restructuring plan, JPMorgan Chase & Co. said in a report Aug. 26. Islamic debt issues from the Gulf have slumped 24 percent to $2.5 billion this year, according to data compiled by Bloomberg.