RIYADH: Gulf Cooperation Council sukuk outstanding climbed 12.7 percent to $1.1 trillion by the end of the third quarter of 2025, as Saudi Arabia and the UAE drove another strong year of Islamic debt issuance.
In its latest report, Fitch Ratings said debt capital market activity in the GCC is expected to remain strong into 2026, supported by a healthy pipeline of anticipated issuances.
According to the US-based credit rating agency, sukuk issuances increased 22 percent year on year in the first nine months of this year, accounting for 40 percent of total GCC DCM outstanding.
Sukuk also outpaced bond growth, which expanded 7.2 percent year on year. Also known as Islamic bonds, these Shariah-compliant debt products allow investors to gain partial ownership of an issuer’s assets until maturity.
The steady momentum in global sukuk markets underscores the expansion of debt markets in countries such as Saudi Arabia, where domestic and international investors seek diversification and stable returns.
