HM Treasury has appointed HSBC and Linklaters as external advisors in the development of a government sukuk.
In a statement, HM Treasury says the £200 million (€243 million) issuance is likely to take place between this year and next by way of a syndicated offering.
The appointment of HSBC and Linklaters is related to the prime minister David Cameron’s speech at the World Islamic Economic Forum in October last year.
HSBC has been appointed to provide advice on structuring the sukuk to ensure that it conforms with principles of Islamic finance and to assist the HM Treasury and the UK Debt Management Office in making the necessary preparations for issuance.
Linklaters has been appointed to provide commercial legal advice when it comes to capital markets, tax, regulatory and real estate implications of issuing a sovereign sukuk for the first time.
Speaking at the forum last year, Cameron said: “I want London to stand alongside Dubai and Kuala Lumpur as one of the great capitals of Islamic finance anywhere in the world.”
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