National Grid Plans Rs100bn Sukuk on PSX
The National Grid Company of Pakistan Limited (NGC) plans to raise up to Rs100 billion through a Shariah-compliant sukuk, with an initial issue of up to Rs20 billion. The Rs100bn PSX sukuk programme will run for up to 10 years and will be offered in phases through public offerings listed on the Pakistan Stock Exchange (PSX), subject to regulatory approvals and market conditions.
The plan came up at the fourth meeting of the Capital Market Development Council (CMDC), chaired by Finance Minister Muhammad Aurangzeb at the Finance Division on Friday. The finance minister welcomed the proposal and described it as a chance to show the potential of listed corporate debt and to encourage other companies to raise long-term funds through the capital market.
What the Rs100bn PSX sukuk plan covers
A sukuk is an Islamic finance certificate that gives investors a share in an underlying asset rather than interest on a loan. NGC will issue its sukuk in stages, so the full Rs100 billion will not hit the market at once. The first tranche of up to Rs20 billion will test investor appetite before later phases follow.
The listing matters because it puts the instrument on the public market. Investors will be able to trade it on the PSX instead of holding a private placement to maturity. For NGC, a listed issue also sets a public price for its long-term borrowing, which other state-owned and private companies can use as a benchmark.
Debt market growth so far
The council heard that corporate debt issuance reached Rs291 billion in January to September 2026, after Rs326 billion across 2025, itself 30 per cent higher than in 2024.
In addition, 12 new listed corporate debt issues worth Rs45.4 billion came to market between February 2025 and September 2026, including sukuk and other instruments, while trading activity picked up. Average daily traded value rose from Rs3.93 billion in fiscal year 2025-26 to more than Rs10 billion in fiscal year 2026-27 as of October 15, 2026. Thirteen banks have joined secondary-market trading arrangements and now take part actively.
The SECP and the PSX have set up dedicated Corporate Debt Market Desks to guide companies raising funds through debt. A one-window listing mechanism is already in place, with simplified procedures and information online, and work is under way to bring the Central Depository Company (CDC) into it.
What it means for investors
For Pakistani savers, a listed sukuk from a state-owned grid company offers a Shariah-compliant option with a public market price, while pension funds and insurers gain a long-term instrument.
The SECP told the council it had consulted 17 pension fund managers and 44 insurance companies on what stops them from investing more in corporate debt, including product supply, liquidity, disclosures and the wider framework. The council also reviewed reforms covering taxation, debt issuance, market infrastructure, investor protection and enforcement. Those measures aim to cut transaction costs, improve liquidity, simplify listing and encourage financing through instruments such as green and thematic sukuk.
The timing is notable: the PSX had a rough session the same day, with the KSE-100 falling 784 points in a late sell-off, which may sharpen interest in fixed-income options. Other capital-market activity continues as well, from the ABHI Microfinance Bank IPO planned for November to OGDC’s profit jump in the first quarter and Sazgar’s first overseas plant in the Philippines.
What happens next
Aurangzeb directed the SECP to work with the PSX and other platforms on solutions for small and medium-sized enterprises seeking capital-market financing, and called for stronger engagement with investment banks, advisers and business organisations.
The finance minister further urged the SECP and the PSX to renew engagement with MSCI over Pakistan’s potential future reclassification to Emerging Markets status. He said the next phase of reforms should translate into higher corporate debt issuance, stronger market liquidity and broader investor participation. The council also discussed further measures to help banks take part in government sukuk trading through the PSX.
The original report on the sukuk plan was published by ProPakistani.
What is a sukuk?
A sukuk is a Shariah-compliant investment certificate that represents ownership in an asset or project. Investors earn returns from the asset’s performance rather than from interest, which Islamic finance prohibits.
