Tengri Partners Investment Banking (Kazakhstan) (“Tengri Partners”) acted as the sole lead underwriter and broker for the debut issue of sukuk of the international financial organization Islamic Corporation for the Development of the Private Sector (“ICD”), denominated in tenge, on the floor of Kazakhstan Stock Exchange JSC (“KASE”).

On June 15, 2023, Tengri Partners placed the first issue of a five-year ICD sukuk in tenge in the total amount of KZT 2 billion (~USD 4.4 million). The deal has crossed multiple “firsts” both for Kazakhstan’s capital markets and ICD: it is the world’s first sukuk in tenge, the first sukuk in national currency among the CIS countries, the first sukuk in tenge from an international development institution. The funds raised from the sukuk will be directed to finance Leasing Group JSC (“Leasing Group”), whose securities are officially listed on KASE. Leasing Group offers leasing products and serves small and medium-sized businesses operating in various industries.

The extensive groundwork carried out since early 2018 to establish the framework and infrastructure for the first-ever tenge-denominated sukuk issuance on KASE has set the stage for a notable development in the country’s financial market. Through collaboration with the local exchange and regulator, the necessary preparations have been made to ensure compliance with Islamic finance principles and local regulations. This pioneering effort in Islamic finance reflects Kazakhstan’s commitment to fostering a robust and inclusive financial sector, opening up new avenues for investment and furthering the development of the country’s capital market.

ICD has chosen the Republic of Kazakhstan for its first borrowing from the local markets, signifying a noteworthy achievement for the organization. Over the past few years, Kazakhstan has implemented legal and regulatory measures to establish Islamic banking and finance, positioning itself as a hub for Islamic financial services in Central Asia.

The issuance of sukuk is a landmark transaction for the Republic of Kazakhstan as it required the bringing together of several parties, including the National Bank of Kazakhstan, KASE, Tengri Partners, Bird & Bird, Walkers, Kinstellar and ICD, to create a structure used for the first time in Kazakhstan, which is intended to raise awareness of Islamic finance and pave the way for others.

This placement once again proved Tengri Partners’ commitment to innovative placements in the capital markets, creating a new class of high-quality assets and welcoming the emergence of new international players on the local arena.


ICD is a multilateral development finance institution and a member of the Islamic Development Bank (IDB) Group. The ICD was established in November 1999 to support the economic development of its member countries by providing funding for private sector projects, encouraging competition and entrepreneurship, providing advisory services to the governments and private companies of its member countries, and encouraging cross-border investment. ICD is rated ‘A2’ by Moody’s, ‘A-‘ by S&P and ‘A+’ by Fitch.