In a historic move aimed at transforming Pakistan’s agricultural and financial landscape, InfraZamin Pakistan, Sunridge Foods (Pvt.) Limited, and BankIslami Pakistan Limited have successfully launched the country’s first Agri-Infrastructure Sukuk at a ceremonial gong striking event held at the Pakistan Stock Exchange (PSX). The PKR 2 billion Shariah-compliant Sukuk is fully subscribed by institutional investors and marks a significant advancement in climate-resilient, Islamic financial instruments tailored to the agriculture sector.
This landmark issuance represents a pioneering effort to channel capital market instruments towards the modernization and sustainability of Pakistan’s agricultural value chain. Backed by a 100% principal credit guarantee from InfraZamin Pakistan and assigned a long-term AAA rating by VIS Credit Rating Company, the Sukuk sets a new benchmark in agri-financing. The structure ensures investor confidence through strong governance and risk mitigation while aligning with Islamic finance principles.
BankIslami led the issuance as the Mandated Lead Arranger, with key contributions from AKD Securities as Financial Advisor, Al-Hilal Shariah Advisors providing compliance oversight, and Pak Brunei Investment Company Limited serving as Investment Agent and Trustee. These partnerships ensure that the interests of Sukuk holders are protected under a fully Shariah-compliant framework.
Proceeds from the Sukuk will be directed towards Sunridge Foods’ Balancing, Modernization, and Replacement (BMR) projects, which include the installation of renewable energy infrastructure such as 1 MW wind turbines and a 0.5 MW solar power plant. The funds will also be used for the development of additional silos and warehouses to enhance storage capacity, alongside working capital support for wheat and rice processing plants in Lahore and Karachi. These measures are expected to significantly boost Sunridge’s operational efficiency, reduce carbon emissions, and contribute to national food security.
Lance Domm, Deputy British High Commissioner, attended the event as Chief Guest and emphasized the importance of the initiative in driving climate-friendly economic growth. He stated that this Sukuk reflects international confidence in Pakistan’s capital markets and the power of public-private collaboration in mobilizing private investment for sustainable development.
InfraZamin Pakistan CEO Maheen Rahman called the transaction a strategic milestone, highlighting how credit guarantees can unlock sustainable finance opportunities for critical sectors. Amir Shahzad, Chairman and Executive Director of Sunridge Foods, emphasized the operational and environmental impact, positioning the Sukuk as a prime example of how Islamic finance can drive modernization and resilience in the food and agriculture industries.
BankIslami President and CEO Rizwan Ata stressed the role of Shariah-compliant finance in promoting long-term national prosperity, calling the Sukuk a progressive step for sustainable economic development.
Dr Shamshad Akhtar, Chairperson of the Pakistan Stock Exchange, underscored the need for homegrown solutions to address the interconnected crises of climate vulnerability and food insecurity. She praised the private sector’s leadership in launching the Sunridge Sukuk and called it a blueprint for using financial innovation to achieve inclusive and climate-resilient growth.
Farrukh Subzwari, CEO of PSX, reaffirmed the exchange’s commitment to building a capital market that goes beyond transactions to serve as a catalyst for national development. He called on regulators, banks, asset managers, and institutional investors to work in unison to foster a sustainable finance ecosystem.
This landmark issuance is a testament to the growing maturity of Pakistan’s capital markets and the increasing role of Islamic finance in supporting sustainable infrastructure. It signals the start of a new era in financial innovation—where capital is mobilized with purpose to address urgent challenges in food security, energy sustainability, and inclusive economic growth.
