Growing Islamic Finance Industry | The star

KUALA LUMPUR: The growth of the global Islamic capital market next year will depend on the pace of policy reviews by major central banks and stable sukuk issuance, said Mohamad Damak, global director of Standard and Poor’s Global Ratings Islamic Finance.

He said that, supported by the global economic recovery as well as a strong issuance of sukuk, the Islamic finance industry is expected to grow between 10% and 12% for next year as well as in 2021.

“Even if the growth rates of some countries are expected to be low, there is a certain recovery expectation for 2022 and this recovery will be consolidated.

“The economic recovery will be the main driver of growth, with strong growth in financing in Saudi Arabia, especially in mortgages and business loans, investments in Qatar ahead of the 2022 FIFA World Cup,” said he declared during a special presentation on the occasion of the second day. of the Islamic Capital Market Summit 2021.

Turkey’s growth will be at a slower pace and driven mainly by public sector participation banks, Damak said.

“The continued growth of sukuk issuance in Malaysia are additional factors supporting the global Islamic financial market and some SWFs will exploit the sukuk market more aggressively and move away from the conventional debt market,” he said. he declares.

He said economic recovery in major Islamic finance countries is being boosted by rising oil prices, which will lead to more fiscal space for the Gulf Cooperation Council. – Bernama

AGS: Islamic finance, sukuk, Islamic capital market, issuance, S&P

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