Abuja, March 17, 2025 – TAJBank, a non-interest bank in Nigeria, is raising the N20 billion Mudarabah Sukuk bond to beef up its capital base.
Hamid Joda, its Chief Executive, disclosed this in a statement on Monday.
According to him, the Mudarabah Sukuk bond issuance is part of the bank’s N100 billion Sukuk issuance programme to expand the bank’s business.
Joda said the new bond issuance was coming after about two years of its first N10 billion Sukuk bond on the Nigerian Exchange in 2023.
He said the bond would present new opportunity for individuals and institutions to invest in an ethical instrument with a competitive 20.5% per annum return.
“Specifically, the new Mudarabah Sukuk bond is designed to offer a stable and ethical investment option.
“It allows investors to participate in the bank’s profit-sharing ventures, and underscores TAJBank’s commitment to expanding access to innovative financial solutions and promoting financial inclusion in the country.
“We are excited to bring this Mudarabah Sukuk to the market, offering a compelling investment opportunity that aligns with ethical financial principles.
“This listing on the NGX will enable a wider range of investors to participate in our growth and benefit from our profit-sharing model,” he said.
The Mudarabah is an Islamic financial model under the non-interest financial system where one party provides the capital while the other provides labour and both share in the profits. It is also referred to as trustee finance.
