S&P Global Ratings: Global Islamic Finance Industry Expected to Show Mild Recovery in 2021

S&P Global Ratings (S&P Global) has stated that the global Islamic finance industry is on track to recover in 2021, following weak performance anticipated for 2020. According to S&P Global Analyst, Mohamed Damak, the global Sukuk market was set to experience robust growth in 2020, however, the outlook has been completely altered on account of COVID-19-imposed lockdowns and lower oil prices, that have impacted core Islamic finance countries, causing greater complexity and lower investor appetite.

According to S&P Global, the Islamic finance industry is projected to grow in the low-to-mid-single digits in 2020/21, following 11.4% growth witnessed in 2019, led by strong performance in global Sukuk markets....