DHAKA, Feb 9, 2026 (BSS) - Investors today demonstrated a record-breaking appetite for Shariah-compliant instruments as the '7th Bangladesh Government Investment Sukuk' witnessed an extraordinary oversubscription of 11.49 times during its auction at the central bank.

The auction, conducted at the Debt Management Department of Bangladesh Bank, was held to mobilize funds for the 'Important Rural Infrastructure Development Project on Noakhali, Feni and Lakshmipur Districts (IRIDPNFL)', said a BB circular issued today.

Against a total face value of Tk 2,500 crore offered by the government, the central bank received a staggering Tk 28,721.33 crore in bids from eager investors. 

Due to this massive demand, the Sukuk, which is structured as an Ijarah (rental) instrument, was allocated on a proportional basis among the successful bidders.

The overwhelming response highlights high market liquidity and the growing strategic importance of the Sukuk for the country's Islamic financial ecosystem. 

A total of 258 bids were submitted by a diverse range of participants, including Shariah-based banks, financial institutions, and the Islamic windows and branches of conventional banks. 

Notably, the bidding pool also encompassed individual level investors, provident funds, mutual funds, and deposit insurance entities.

According to Bangladesh Bank, this Sukuk issuance provides critical benefits for the financial sector. Primarily, it serves as an eligible security for Shariah-based financial institutions to maintain their Statutory Liquidity Reserve (SLR) requirements. 

Furthermore, these institutions can utilize the Sukuk as collateral to avail the 'Islamic Banks Liquidity Facility (IBLF)' from the central bank, providing a vital tool for liquidity management.

The proceeds from the 'IRIDPNFL Socio-Economic Development Sukuk' are dedicated to the infrastructure needs of Noakhali, Feni, and Lakshmipur districts.

By improving rural road networks and essential infrastructure, the project is expected to play a transformative role in the socio-economic condition of the region, enhancing connectivity and facilitating local trade.

Beyond the primary auction, the central bank clarified that the Sukuk remains accessible to a wider investor base through the secondary market. 

This allows insurance companies, various organizations, and individual investors who could not participate in the primary auction to purchase the instrument and benefit from its fixed rental returns.