More African countries considering sukuk
According to a report from Standard and Poor’s, an increasing number of African countries are considering issuing sukuk to fund their huge infrastructure needs and to diversify their investor base. South Africa, Nigeria, Senegal, and Mauritania have all announced in recent years their intention to issue sukuk bonds. Moreover, following the Arab spring and the rising influence of Islamist parties in some countries, the development of Islamic finance has gained importance for their governments, for example in Egypt and Tunisia. Standard & Poor’s believes that sukuk issued by African sovereigns could address an investor base in the GCC or at the Islamic Development Bank.