Warba Bank lists USD 500 mln sustainable sukuk on London Stock Exchange

The Kuwait-based Warba Bank announced Friday the successful listing of USD 500 million sustainable sukuk on the London Stock Exchange, as part of the Bank's USD two billion sukuk issuance program. "We are proud to announce this successful listing of Warba Bank's sustainable sukuk, which reflects the Bank's commitment to sustainability as part of our core strategy," Chief Treasury Officer at Warba Bank Abdullah Al-Lanqawi told KUNA. "These sukuk not only enhance our financial strength by providing sustainable liquidity, but also support the diversification of funding sources and compliance with international regulatory standards, including Basel Liquidity Management Standards." During the listing ceremony, Al-Lanqawi rang the opening bell at the London Stock Exchange in the presence of prominent figures from the Kuwaiti Embassy and the Kuwait Investment Office, and representatives of the banks and international institutions that partnered in the issuance. The Warba stated that this listing represents the f irst sustainable sukuk in Kuwait and comes as part of Warba Bank's sustainable financing. It noted that these sukuk, which have a maturity of five years, are dedicated to supporting environmental, social and institutional projects and initiatives that are in line with global sustainability goals. The issuance witnessed a positive response from investors with a subscription volume of USD 1.8 billion, equivalent to three and a half times the size of the issuance, which confirms the growing interest in sustainable investment opportunities in the region, as these sukuk balance profitability with social and environmental responsibility. Al-Lanqawi pointed out that funds from this issuance will be deployed to finance refinance projects that comply with ESG standards, aligning with Central Bank of Kuwait's initiatives to ESG principles. "This strategy ensures our commitment to sustainable development," he said. In his answer to whether sustainable and green sukuk have become attractive to global investors, Al-La nqawi said indeed as investors are more aware of environmental and social issues, and some are seeking a balance between profitability and social responsibility. He pointed out that many governments and regulatory bodies offer incentives for sustainable development investments, increasing the attractiveness of these financial instruments Source: Kuwait News Agency