Omantel scraps plans for debut sukuk

Oman Telecommunications (Omantel), the Sultanate’s incumbent telecoms operator, has decided not to proceed with its proposed USD130 million debut sukuk issue ‘at the present time’, following recommendations from its advisors. Last month the company opened for subscription a five-year dual currency Islamic bond, but chief executive Talal al-Mamari told Reuters that the interest rates on the sukuk were higher than expected. ‘We have taken the advice of our financial advisor that now is not the right time to issue the sukuk, due to the current economic situation worldwide,’ he revealed.