Malaysia Front-Runner in Global Sukuk Market in 2020, Followed by Saudi Arabia and Indonesia

According to RAM Ratings’ publication on the 1st of April 2021, despite COVID-19 and its adverse impacts on the global economy as well as the resultant negative sentiment, Sukuk issuance across the globe rose 16.8% to USD 152.6 billion in 2020 from USD 130.6 billion in 2019. In 2020, Malaysia continued to hold the largest market share of 39.2%, followed by Saudi Arabia with 20.4% and Indonesia at 17.5%.

Why it Matters?

Together, Malaysia, Saudi Arabia and Indonesia accounted for 77.1% of worldwide Sukuk issuance in 2020. Growth in these Sukuk markets was attributed to developments in the three domestic economies, backed by strong government spending on sovereign stimulus packages, coupled with favourable monetary policies, which supported issuances in th...