Sukuk Issuance in Malaysia: Lessons for Pakistan

  • Sumaira Ghafoor Data Analyst/Visiting Lecturer Karachi, Pakistan
  • Irum Saba Assistant Professor, Program Director MS Islamic Banking & Finance Institute of Business Administration, Karachi, Pakistan
  • Rehana Kouser Professor, Department of Commerce, Bahauddin Zakariya University, Multan, Pakistan.
Keywords: Sukuk, Malaysia, Murabaha, Ijarah, Mudarabah


Pakistan need to enhance the liquidity management framework for its growing Islamic finance industry. Sukuk is a best Shariah-compliant debt instrument for short term liquidity needs since Sukuk is highly tradable instrument with low level of market risk. In view of that, there is an increasing trend in the global issuances of corporate and sovereign Sukuk. Therefore, this case study aims to explore the issuance of Sukuk in Malaysia as an example. Malaysia is dominating the Sukuk Market and has been issuing Sukuk since 1990. The underlying structure of the proposed Sukuk model for Pakistan is Istisna that is an Islamic project bond. Pakistan has the potential to replicate the Sukuk model of Malaysia. However, it is required to have an active secondary trading market in order to develop an effective and dynamic Sukuk market.


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How to Cite
Ghafoor, S., Saba, I., & Kouser, R. (2018). Sukuk Issuance in Malaysia: Lessons for Pakistan. Journal of Accounting and Finance in Emerging Economies, 4(2), 159-176.