Malaysia remained the largest global Sukuk market in Q1 2024, capturing 35% of the market share with a total issuance of USD18.5 bil (Q1 2023: USD16.3 bil). Saudi Arabia’s issuance grew more than three-fold to USD15.1 bil compared to only USD3.7 bil during the same quarter last year. In the first quarter of 2024, Sukuk issuances from the royal kingdom made up 62% of total issuances from the GCC region alone, contributed by a balanced mix of sovereign and corporate sukuk. The strong momentum for Sukuk issuance was supported by the Government’s push to develop the local debt capital market and reduce bank reliance with its ongoing economic transformation programs (such as Saudi Vision 2030). Indonesia, on the other hand, held its total issuance steady at USD5.2 bil in Q1 2024, unchanged from Q1 2023, as the central bank hiked its rate to 6.25%, the highest since 2016. The three heavyweights – Malaysia, Saudi Arabia and Indonesia – dominated more than two-thirds of the total global market share.
