TAJBank, a prominent non-interest financial institution in Nigeria, is preparing to launch a N20 billion Mudarabah Sukuk bond aimed at strengthening its Additional Tier 1 capital. This strategic move is part of the bank’s broader efforts to expand its financial base and support its growth objectives.
The Mudarabah Sukuk is an Islamic financial instrument that aligns with non-interest banking principles, making it particularly attractive for investors seeking Sharia-compliant investment options. The bank’s target with this issuance is to achieve a N100 billion yield, signaling TAJBank’s confidence in the potential returns from this financial venture.
This initiative reflects a growing trend among Nigerian banks to explore innovative financing options to bolster capital and sustain competitive advantage in the challenging economic landscape.
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