IslamicFinance.de

The study, “Sukuk Perceptions and Forecast,” released by Thomson Reuters, said the total global outstanding sukuk, which is currently at $241 billion, is also expected to grow to $907 billion by 2020. With the potential demand for sukuk expected to outstrip supply, the global Islamic bond issuance is expected to surge to $175 billion in 2015, up from $110 in 2014, and is projected to hit $250 billion by 2020, the report said. Investors view the UK as the most attractive emerging Islamic finance market for sukuk investment while lead arrangers also expect that more sukuk would be issued from the UK. Some investors are planning to reduce their allocations to sukuk which could push yields higher.