Global Infrastructure for Financial Stability
Pioneering Liquidity Management
The International Islamic Liquidity Management Corporation (IILM) is a trailblazing institution established in 2010 to address systemic cross-border liquidity challenges in Islamic finance. By providing Shari’ah-compliant short-term instruments, IILM delivers transformative liquidity solutions that empower financial institutions to thrive while maintaining ethical principles.
Headquartered in Kuala Lumpur, IILM is supported by a coalition of eight central banks – representing Indonesia, Kuwait, Malaysia, Nigeria, Qatar, Türkiye, the UAE, and Mauritius – alongside ICD. This unique collaboration enhances IILM’s credibility and effectiveness, enabling it to deliver financial solutions that meet the highest international standards. This partnership of central banks from Asia, Africa, and the Gulf Cooperation Council (GCC) regions, together with ICD, reflects a shared commitment to advancing Islamic finance and ensuring robust liquidity management across borders.
As the sole provider of Shari’ah-compliant Asset-Backed Commercial Paper (ABCP), IILM sets a global benchmark for ethical liquidity management, bridging critical gaps in the financial ecosystem and fostering stability across markets. Its innovative approach positions it as an indispensable pillar of resilience and trust in the Islamic finance landscape.
Why IILM Matters
IILM’s significance lies in its ability to deliver high-quality, tradable Sukuk that address the liquidity needs of Islamic financial institutions worldwide. These instruments are not just solutions – they are lifelines that enable institutions to operate with stability and confidence in a competitive global market.
The active involvement of central banks provides IILM with unparalleled credibility. This unique governance structure ensures that IILM’s offerings adhere to rigorous international standards while meeting the diverse needs of the regions it serves, reinforcing its role as a cornerstone of trust and innovation in Islamic finance.
IILM’s significance lies in its ability to deliver high-quality, tradable Sukuk that address the liquidity needs of Islamic financial institutions worldwide.
ICD: A Strategic Partner in Transformation
ICD has been instrumental in IILM’s success. As a founding shareholder, ICD’s long-term vision, governance, and financial backing have positioned IILM as a global leader in liquidity management. By turning liquidity challenges into opportunities for growth, ICD has ensured that IILM remains a trusted and innovative force in Islamic finance.
Breakthrough Achievements
Since its inaugural issuance in 2013, IILM has issued over USD 113.95 billion in short-term Sukuk through 276 series, cementing its role as a global leader in liquidity management. In 2024, IILM facilitated USD 13.01 billion in Sukuk issuances, achieving nearly 20% growth in outstanding size from the previous year. Notable milestones include the world’s first short-term cross-border Sukuk and the introduction of a 12-month Sukuk tenor in 2022. These innovations reflect IILM’s ability to adapt to evolving market demands while delivering cutting-edge solutions that empower institutions to navigate complex economic landscapes.
A Catalyst for Sustainable Development
IILM’s initiatives extend far beyond financial markets, aligning closely with global development priorities. By promoting financial inclusion (SDG 8), driving infrastructure innovation (SDG 9), and fostering responsible investment practices (SDG 12), IILM actively supports the United Nations SDGs. Proceeds from IILM Sukuk are reinvested into projects that reduce inequalities (SDG 10), creating ripple effects of progress across member countries.
Recognition and Leadership
Globally recognized for its pioneering contributions, IILM has earned accolades such as “Islamic Finance Institution of the Year” and “Best Cross-Border Sukuk Liquidity Provider.” These awards highlight IILM’s leadership in liquidity management, market innovation, and ethical finance, reinforcing its position as an indispensable pillar of the Islamic financial ecosystem.
Looking Ahead: Scaling New Heights
IILM is charting a bold course for the future, with plans to expand its Sukuk program from USD 5 billion to USD 6 billion and diversify its portfolio across new markets and sectors. The corporation is also advancing innovative instruments such as Green Sukuk and multi-currency offerings, paving the way for a sustainable and globally integrated financial ecosystem.
IILM is charting a bold course for the future, with plans to expand its Sukuk program from USD 5 billion to
USD 6 billion and diversify its portfolio across new markets and sectors.
Future Outlook: Building Resilience in Islamic Finance
IILM’s unique structure, dynamic leadership, and unwavering commitment to sustainability make it indispensable to the Islamic financial system. Backed by the strategic vision of ICD, IILM continues to deliver transformative liquidity solutions, enabling institutions to thrive in a world that demands resilience and adaptability. As ICD celebrates 25 years of empowering transformative institutions, IILM stands as a testament to its enduring mission. By addressing the liquidity needs of hundreds of institutions, it redefines ethical finance, ensuring a stable and prosperous future for Islamic finance worldwide.
ICD’s leadership in building global financial infrastructure is exemplified through its support for the International Islamic Liquidity Management Corporation (IILM). As the only institution issuing USD-denominated Shari’ah-compliant short-term liquidity instruments, IILM addresses critical liquidity challenges in Islamic financial markets. This innovation ensures that Islamic financial institutions have the tools necessary to manage liquidity effectively, contributing to the stability and growth of global financial systems. By addressing these systemic challenges, ICD strengthens the financial architecture for sustainable development.