KUALA LUMPUR: The International Islamic Liquidity Management Corporation (IILM) has issued three new sukuk amounting to US$490 million, bringing its total outstanding sukuk to its highest-ever level of US$4 billion.

In a statement, IILM said the three series were priced competitively at 5.4 per cent for US$240 million for a tenor of one month, 5.2 per cent for US$150 million (three-month tenor) and 5.0 per cent for US$100 million (six-month tenor).

"The latest sukuk issuance marks the IILM's ninth auction for the year, as well as its second in August," it said.

Chief executive officer Mohamad Safri Shahul Hamid said the new sukuk issuance represented a significant milestone for IILM as it expanded its portfolio to include a new highly rated underlying asset for the first time since 2020 (rated 'AA-' internationally).

"This brings the its total outstanding sukuk to US$4 billion, which is the highest ever since the inception of the IILM sukuk programme in 2013," he said.

IILM noted that despite market uncertainty over the Federal Reserve's interest rate decisions, the auction drew strong interest from primary dealers and investors from the Gulf Cooperation Council countries, Europe, Asia, and Africa.

It said the combined order book exceeded US$1.06 billion, resulting in an impressive average bid-to-cover ratio of 217 per cent.

"Year to date, the IILM has issued a cumulative US$8.38 billion across 27 sukuk series," it said.

The IILM's short-term sukuk programme holds strong ratings of 'A-1' from S&P Global Ratings and 'F1' from Fitch Ratings.