The Government of Pakistan successfully raised Rs56.135 billion through an auction of Government of Pakistan Ijarah Sukuk (GIS) conducted by the State Bank of Pakistan (SBP) on a deferred payment (Bai Muajjal) basis.

The auction was held for GIS FRR-24 with a sukuk delivery date of June 24, 2026. In face value terms, the government accepted Rs38.4 billion across three tenors, while total bids received amounted to Rs270.05 billion, indicating strong investor interest in Shariah-compliant government securities.

According to auction results released by the SBP, the 1,096-day tenor attracted the highest participation, receiving bids worth Rs257.55 billion, followed by Rs7.5 billion for the 183-day tenor and Rs5 billion for the 365-day tenor.

The government accepted Rs30.4 billion in face value under the 1,096-day tenor at a cut-off deferred price of 153.23, resulting in a Bai Muajjal value of Rs46.582 billion.

Meanwhile, the entire Rs5 billion offered under the 365-day tenor was accepted at a cut-off deferred price of 121.82, generating a Bai Muajjal amount of Rs6.091 billion.

For the 183-day tenor, the government accepted Rs3 billion in face value at a cut-off deferred price of 115.39, translating into a Bai Muajjal value of Rs3.462 billion.

Overall, bids worth Rs270.05 billion were submitted against an accepted face value of Rs38.4 billion, reflecting a selective acceptance strategy by the government despite substantial demand.

The auction highlights continued investor appetite for Islamic government securities, particularly longer-tenor instruments, as the government expands its Shariah-compliant financing base and diversifies domestic borrowing sources.

The 1,096-day tenor accounted for nearly 80% of the total accepted amount, underscoring investor preference for longer-duration Sukuk amid expectations regarding future interest rates and liquidity conditions.

The successful auction comes as the government continues to actively utilize Islamic financing instruments to meet its funding requirements while supporting the development of Pakistan’s Islamic capital market.