Muscat – Oman Sovereign Sukuk Company, acting on behalf of the Government of the Sultanate of Oman through the Ministry of Finance, has raised RO120mn through a new sovereign sukuk issuance that was nearly 2.5 times oversubscribed.

Earlier this month, the company launched the 11th issuance of local sovereign sukuk, initially sized at RO100mn with a greenshoe option of up to RO20mn. The sukuk carries a five-year maturity and offers an annual profit rate of 4.2%.

On Thursday, the company announced the final subscription results, confirming that the issuance size was increased to RO120mn in response to strong investor demand. Total subscription applications reached approximately RO249.8mn.

The average accepted profit rate was 4.19%, with bids ranging from a high of 4.20% to a low of 4.17%. The sukuk will be settled on Monday.

Profit payments will be made semi-annually on June 15 and December 15 each year, until the maturity date of June 15, 2031.

The sukuk issuance was open to individual and institutional investors, both within Oman and internationally, and was conducted through a competitive bidding process.

The sukuk are Sharia-compliant and will be tradable at prevailing market prices on the Muscat Stock Exchange.

According to Oman’s 2026 state budget, the government plans to issue government development bonds and sovereign sukuk worth a combined RO850mn during the year. These issuances form part of the government’s financing strategy to cover the projected budget deficit and meet public debt servicing requirements.