ALGIERS, Algeria, May 21. Algeria aims to develop a long-term and predictable sukuk issuance program to successfully integrate this Islamic finance instrument into its national financial strategy, said Razika Megateli, Director of the Public Debt Department at the Ministry of Finance of Algeria, Trend’s special correspondent reports.
Speaking at the panel discussion “Sovereign Sukuk: A Strategic Lever for National Financing,” held during the annual meetings of the IsDB Group in Algiers, Megateli stressed the need to enhance the existing legal and regulatory framework.
“I believe the current regulatory base is insufficient. It is necessary to deepen regulation to make it more effective and aligned with market needs,” she said.
In alignment with Megateli's insights, Algeria ought to pivot towards the formulation of a robust, systematic annual sukuk issuance framework.
“There are existing programs for issuing government bonds, and sukuk issuances should become just as systematic and recurring. This would eliminate uncertainty among investors about whether issuances will continue in the coming years. Even those who invest today need to know they’ll have the opportunity to reinvest in two or three years under potentially more favorable conditions,” she noted.
Another point that she emphasized was the significance of developing a robust secondary market.
“To give investors confidence, it’s crucial to enable the buying and selling of these instruments. This will make the sukuk market more dynamic, resilient, and attractive,” concluded the Ministry of Finance representative.
Stay up-to-date with more news on Trend News Agency's WhatsApp channel