The government is to sell its first short-term Islamic bond, aiming to raise BDT 55 billion. The central bank said the nine-month government investment sukuk, structured under an ijara lease contract, will fund the Important Rural Infrastructure Development Project on Priority Basis (IRIDP-2).

Bangladesh Bank said the auction would run from 10 am to 3 pm on June 28 through its Shariah Securities Module software, with allotments visible to successful bidders by 4 pm the same day.

The instrument carries a one-time profit payment calculated at an annual rate of 9.36 percent, with total rental payments of BDT 3.85 billion due at maturity on March 29, 2027. The minimum investment is set at BDT 10,000, according to the central bank.

Any bank or financial institution holding a current or Al-Wadiah current account with Bangladesh Bank may bid directly. New investors must contact their respective banks by June 25 to complete registration for a sukuk investor ID, the central bank said.