KUALA LUMPUR (March 9): S&P Global Ratings expects the global sukuk issuance to increase to US$140 billion-US$155 billion (US$1=RM4.11) this year compared with US$139.8 billion in 2020.
Global head of Islamic finance Dr Mohamed Damak said the credit rating agency expected some sovereigns in the core Islamic finance countries to tap into the sukuk market more aggressively in 2021.
“Corporate activity was muted in 2020, as they deferred capital expenditure (capex) because of the pandemic.
“They are likely to execute some of this capex in 2021, thereby necessitating access to capital markets,” he said at the 16th Kuala Lumpur Islamic Finance Forum held virtually today.