What's Hot

    MSG Group invests USD 60 million to build cement plant in Somaliland

    July 1, 2022

    Abu Dhabi Exports Office signs financing deal to enhance trade with ECOWAS states

    June 30, 2022

    Bahrain hosts Egyptian delegation as trade soars

    June 29, 2022
    Gulf Africa ReviewGulf Africa Review
    • Industry
    • Infrastructure
      1. Airport
      2. Hospitality
      3. Ports
      4. Power
      5. Rail
      6. Roads
      7. Transport
      Featured

      Osun seeks to capitalise on infrastructure momentum

      Infrastructure May 21, 2018
      Recent

      MSG Group invests USD 60 million to build cement plant in Somaliland

      July 1, 2022

      ACWA Power consortium signs agreement for 1.1 GW wind project in Egypt

      June 23, 2022

      Gulf sovereign funds sign deal to spur investment in Africa

      June 22, 2022
    • Business & Trade
      1. Agri-Business
      2. Entrepreneurship
      3. FDI
      4. Legislative
      5. MEA
      6. Telecoms
      7. Properties
      Featured

      Analysts predict bullish future for Nigeria’s REITs market

      Business Business & Trade January 21, 2018
      Recent

      Abu Dhabi Exports Office signs financing deal to enhance trade with ECOWAS states

      June 30, 2022

      Bahrain hosts Egyptian delegation as trade soars

      June 29, 2022

      Dubai Chambers registers over 1,600 African companies since October 2021

      June 28, 2022
    • Finance
      1. Banking
      2. Islamic finance
      Featured

      Abu Dhabi Exports Office signs financing deal to enhance trade with ECOWAS states

      Business & Trade Finance June 30, 2022
      Recent

      Abu Dhabi Exports Office signs financing deal to enhance trade with ECOWAS states

      June 30, 2022

      ITFC begins disbursing additional USD 3 billion in credit to Egypt, willing to provide more

      June 17, 2022

      MENA startups raise USD 176 million in May

      June 14, 2022
    • Innovation
    Gulf Africa ReviewGulf Africa Review
    Business

    Sukuk’s bolster investment and trade

    July 8, 20153 Mins Read
    Facebook Twitter Pinterest LinkedIn Tumblr Email
    Share
    Facebook Twitter LinkedIn Pinterest Email

    Islamic finance options spurring investment

    Islamic finance is set to play an ever-increasing role in bolstering trade and investment between the Gulf and much of Africa. Sukuks have been launched across Africa, from South Africa to Gambia, Senegal and beyond and are increasingly offering a consistent alternative to other finance methods.

    A recent report by Standard Chartered Bank stated that “the strength of demand for sukuk bonds by Sub Saharan African issuers is evidence of Middle Eastern investors’ interest in [Sub Saharan African] investment”, the report went on to state that ” Nearer-term, deeper markets and a Middle-Eastern investor base more familiar with Africa should help to advance Sub Saharan African sukuk issuance.” The strength of demand for sukuk bonds by Sub Saharan African issuers is evidence of Middle Eastern investors’ interest in [Sub Saharan African] investment

    Islamic finance options are expanding with the continent as highlighted by recent initiatives in Morocco, South Africa and beyond. While Islamic finance appears to be on the rise in Africa, a report by Standard & Poor claimed that the global sukuk market will this year, following the Central Bank of Malaysia’s withdrawal from the market.

    GCC investment in Africa has increasingly been directed toward infrastructural projects as countries seek to improve existing networks in order to bolster intra-Africa and Middle Eastern-African trade. Trade between Sub Saharan Africa and the Middle East has increased by a factor of five, reaching $35 billion in 2014, compared to $7 billion ten years ago. However, despite this impressive growth, trade with the Middle East has only grown by 12 percent annually since 2000, whereas trade with China (27 percent) and India (18 percent) has consistently been of greater importance.

    According to The Economist, Middle Eastern countries have invested approximately $30 billion in infrastructure projects in Africa over the past decade and have focused on ports, telecoms and energy. The UAE emerged as the fourth largest investor in Africa in 2014, behind the USA, the UK and South Africa. Capitalizing on its advantageous geographical position and strong logistical market, the UAE is acting as a gateway to the continent for firms from across the world, as well as benefitting in terms of direct trade and investment with Africa. Related article UAE’s logistics market booming

    Export to, and support of Africa key

    The strength of demand for sukuk bonds by Sub Saharan African issuers is evidence of Middle Eastern investors’ interest in [Sub Saharan African] investment

    Infrastructure Islamic finance
    Share. Facebook Twitter Pinterest LinkedIn Tumblr Telegram Email
    Previous ArticleUAE’s logistics market booming
    Next Article Mergers and acquisitions market on the slide

    Related Posts

    Business Industry Infrastructure

    MSG Group invests USD 60 million to build cement plant in Somaliland

    July 1, 2022
    Business & Trade Finance

    Abu Dhabi Exports Office signs financing deal to enhance trade with ECOWAS states

    June 30, 2022
    Business & Trade

    Bahrain hosts Egyptian delegation as trade soars

    June 29, 2022
    Add A Comment

    Comments are closed.

    LATEST STORIES

    MSG Group invests USD 60 million to build cement plant in Somaliland

    July 1, 2022

    Abu Dhabi Exports Office signs financing deal to enhance trade with ECOWAS states

    June 30, 2022

    Bahrain hosts Egyptian delegation as trade soars

    June 29, 2022

    Dubai Chambers registers over 1,600 African companies since October 2021

    June 28, 2022

    GrubTech: Transforming restaurants and cloud kitchens

    June 27, 2022
    • Business
      • Agri-Business
      • Entrepreneurship
      • FDI
      • Legislative
      • MEA
      • Properties
      • Telecoms
    • Infrastructure
      • Airport
      • Hospitality
      • Ports
      • Power
      • Rail
      • Roads
      • Transport
    • Finance
      • Banking
      • Islamic finance
    • Commodities
      • Agri commodities
      • Metals & minerals
      • Precious metals
    • Culture & Society
      • Education
      • Energy
    GAR logo
    © GulfAfricaReview.com 2014-2022, All Rights Reserved.

    Gulf Africa Review is a trade news and future networking platform for businesses leaders and trade organisations, established to first inform and secondly assist in facilitating the ongoing business and trade relations between the Gulf Cooperation Council countries and Sub-Saharan Africa. We aim to provide an apolitical voice for this channel of economic activity in a way that benefits both geographies by improving the availability of information about market events, developments and opportunities, while publicising the successes achieved by this ever-broadening regional relationship.

      Subscribe to our newsletter

      Type above and press Enter to search. Press Esc to cancel.