RIYADH: Outstanding Fitch-rated hard-currency sukuk exceeded $221 billion at the end of the first half of 2026, rising 13 percent from a year earlier, as the Islamic debt market remained resilient despite geopolitical and macroeconomic volatility.
About 82 percent of Fitch-rated listed hard-currency sukuk were investment grade at the end of June, while most issuers had Stable Outlooks and there were no defaults during the period, Fitch Ratings said in a report.
The increase highlights the continued importance of sukuk as a funding tool for governments and companies across the Gulf and other emerging markets. Saudi Arabia and other major issuers have increasingly tapped international investors through US dollar-denominated sukuk, helping deepen the asset class and strengthen its role in global Islamic finance markets.
In its latest report, Fitch stated: “The outlook for global sukuk issuance remains sensitive to geopolitical developments. Any renewed escalation in regional tensions could weigh on investor sentiment, growth and issuance activity.”
It added: “Even so, the listed HC sukuk universe remains supported by strong credit quality and broad access to international listing venues.”
