Yemen launches first Sukuk

SANA¿A, Feb. 13 (Saba)-The Central Bank of Yemen has launched the country's first sukuk issue and plans to issue additional Islamic bonds worth US$500 million this year. The sukuk, issued Saturday, are valued at YR 4 billion (US$18.74 million) and will be used to finance three local road projects. The Islamic bonds will provide medium-term financing for local development projects and they will be an acceptable substitute for treasury bills, Mohammed Bin Hammam, the central bank's governor said. Yemen is seeking to issue, through its central bank, sukuk worth US$500 million by the end of the current year.