$136m Worth of Sukuk to Fund Road Maintenance in Iran

The government has given the go-ahead to Road Maintenance and Transportation Organization to issue 6 trillion rials ($136 million) of Islamic debt securities to finance its operations. The Economic Council agreed to the measure on Monday and mandated the organization to use the funds raised for renovating the country’s roads and improve their security. The organization, affiliated to the Ministry of Roads and Urban Development, has been required to pay for the Musharakah sukuk’s issuance and their subsequent repurchase upon maturity using its own assets, Mehr News Agency reported. Musharakah bonds represent part-ownership of a particular project.