IslamicFinance.de

CIMB Group Holdings expects sovereigns to issue 'green' Islamic bonds for the first time this year. CEO Rafe Haneef said about 3 to 5 sovereign sukuk issues are exptected to come to market this year and some of them will be green issuances. Corporates are also eyeing green sukuk issuances. Green bonds are a growing category of fixed-income securities, raising capital for projects with environmental benefits. Rafe says more and more investors are allocating funds for socially responsible investments (SRI) and Islamic bond issuers could benefit from that. He expects the total number of Islamic bond issuances this year to be slightly higher than last year, driven mainly by infrastructure bonds in Southeast Asia. He expects some new issuers to enter the sukuk market, saying state-owned enterprises from the United Arab Emirates and Qatar were possibilities.