Nigeria in Need of Standardisation and Better Regulation to Enable Growth of Sukuk Market

Adaeze Uzor-Kalu, Head of External Relations of FMDQ Group, stated that despite three successful Sukuk issues in Nigeria, the Sukuk market is in need of standardization and a better regulatory framework. She deemed this as essential to ensure the development of the Sukuk fixed income market and to improve its local scale.

Why it Matters?

Despite Nigeria being a leader in implementing the Islamic finance regulatory framework in the West African region, Islamic financial market penetration in the country remains at less than 1%, indicating plenty of potential for growth. Given that Sukuk is an instrument that can cater to all investors, its growth can help fund infrastructure deficits, promote economic growth and expand the local capital market of Niger...