GCC banks expected to keep sukuk train rolling

04 Mar 2013

Sukuk issuance among banks in the Gulf Co-operation Council (GCC) region is expected to keep growing this year after the GCC banks turned to the Shariah-compliant bond market for 45% of their debt issuance in 2012, according to Standard & Poor’s.

“We have observed a significant increase in sukuk issuance, which was a small sub-segment of the GCC’s debt market until a few years ago,” said a research note from the ratings agency released on Monday.

GCC banks issued $6.7bn of sukuk in 2012, a year-on-year increase of 136%. This ...

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