Sukuk rise offers potentials in Muslim economies

The rise of sukuk, driven by the growing influence of investors who want syariah-compliant investment and savings products, opens new opportunities in Islamic economies, says HSBC Bank Malaysia Bhd. In a statement, it said interest was strong in Gulf Cooperation Council member states as well as in growing economies such as Malaysia and Turkey. For those seeking finance, syariah-compliant debt offers access to the large pool of capital in oil-rich countries in the Middle East and South-East Asia. The bank said sukuk also had broad appeal, particularly in the Muslim world, where borrowers were attracted by the prospects of cross-border flows from the Gulf countries.