IslamicFinance.de

Indonesian corporate sukuk sales are expected to reach a full-year record as $92 billion of state-backed development projects buoy issuance. Bank Muamalat Indonesia and Adira Dinamika Multi Finance were among issuers of Rp 1.5 trillion ($154 million) of securities. The government is seeking to reduce fuel subsidies to set aside more funds for roads, railways and power stations to spur growth. Finance companies have accounted for 72 percent of sales this year, while state-owned construction company Hutama Karya and electricity producer Perusahaan Listrik Negara may sell Islamic bonds in 2013. The sectors with the biggest potential to actively tap into the sukuk market will be those involved in infrastructure-related projects and utilities.