Islamic Finance Will Continue to Grow in 2021

The international credit agency Moody's estimated the global sukuk issuance in 2021 to be around $190 to 200 billion.

"Islamic funds will grow 4-5 per cent annually"

According to their statement, "Islamic finance will continue to grow on several fronts despite the challenges of the pandemic thanks to the supportive governmental policies, high product demand, and the expansion of the market.

It is also foreseen in the statement that, "Sukuk issuance will reach record levels, takaful (insurance) premiums will increase steadily, and Islamic funds will grow by 4-5 per cent annually".

"We expect stability in the sukuk issuance around $190-200 billion in 2021"

Ashraf Madani, Moody’s Vice President and Senior Analyst said in the statement that “We expect Islamic finance to continue its rise and its growth trend in 2021 and after. The sector is still underrepresented in countries with a high Muslim population. But this also opens areas for growth.

We expect the global sukuk issuance to gain stability at around $190-200 billion in 2021 after it reached its record levels in 2020 with $205 billion."

AA