Tuesday 03, October 2017 by William Mullally

SC and ISRA publish textbook on “Sukuk: Principles and practises”

This is the second publication under the collaboration between SC and ISRA, following the success of previous joint publication, ‘Islamic Capital Markets: Principles & practises’ in 2015. The SC and Khazanah Nasional Berhad are co-sponsors of these two initiatives.

Securities Commission Malaysia (SC) and The International Shari’ah Research Academy for Islamic Finance (ISRA) today released a joint publication on ‘Ṣukuk: Principles & practises’ launched by His Royal Highness Sultan Nazrin Muizzuddin Shah at the Kuala Lumpur Islamic Finance Forum 2017 in Kuala Lumpur.

This is the second publication under the collaboration between SC and ISRA, following the success of previous joint publication, ‘Islamic Capital Markets: Principles & practises’ in 2015. The SC and Khazanah Nasional Berhad are co-sponsors of these two initiatives.

The launch of the textbook is timely in view of the increasing role of Sukuk as an important source of capital formation to finance the development of a country’s economy.

Malaysia continues to be the world’s largest Sukuk market, characterised by the presence of innovative Sukuk structures, diversity of domestic and foreign issuers and investors as well as availability of various maturities and currency denominations. The global significance of Malaysia’s Sukuk market is the result of orderly development of the Sukuk market ecosystem, and the broad acceptance of Sukuk globally as a viable mechanism to raise capital as evidenced by the growing number of countries including non-Muslim ones that have issued or planning to issue Sukuk.

More recently, Malaysia witnessed the issuance of the world’s first green Sukuk under SC’s Sustainable & Responsible Investment (SRI) Sukuk framework. The green Sukuk further affirmed the country’s efforts in product innovation as well as its position as a leading Islamic finance marketplace and its value proposition as a centre for sustainable finance.

The ‘Ṣukuk: Principles & practises’ textbook focuses on the theories and practises governing Sukuk across various jurisdictions while adopting a global perspective when discussing the subject. It serves as a vital source of reference to academicians, students and practitioners to gain greater understanding on Sukuk and in turn, contribute towards continuing growth and expansion of the Sukuk market globally.

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