The government has decided to raise an additional Tk 2,500 crore by issuing a Sukuk or Islamic bond for rural infrastructure development in Noakhali, Feni and Lakshmipur districts.
This decision aims to foster development in these three southeastern districts. Banks, insurance companies, corporate entities and individual investors will be eligible to invest in this bond, according to a Bangladesh Bank press statement.
The final approval for the Sukuk issuance was granted during a meeting of the central bank鈥檚 Shariah advisory committee.
The meeting, chaired by Bangladesh Bank deputy governor and committee chairman Kazi Kabir Ahmed, was held on Monday.
It was decided that seven-year Sukuk will be issued under Ijarah method to finance a rural infrastructure project across 20 upazilas in the three districts. It will be named 鈥業RRIDPNFL Socio-Economic Development Sukuk鈥�.
The proceeds will be used for road development, widening, rehabilitation, and slope protection work, as well as improving infrastructure in marketplaces and tourist areas within the 20 upazilas.
Successful implementation of the project is expected to boost agricultural and non-agricultural economic activities, improve the living standards of the rural population, create new employment, and reduce transportation costs and time.
