Islamic Capital Markets: Prospects of the Sukuk Issuance in the Post-Soviet Countries

DOI: 10.20542/0131-2227-2023-67-4-81-91
Institute of International Relations, Kazan Federal University (IIR KFU), 1/55, Pushkina Str., Kazan, 420008, Russian Federation;
Ufa State Petroleum Technological University, 1, Kosmonavtov Str., Ufa, 450062, Russian Federation.

Received 26.10.2022. Revised 02.12.2022. Accepted 12.12.2022.

Acknowledgements. This study is funded by RFBR, project number 19-310-60002 “Islamic Finance in the Post-Soviet States: challenges and opportunities for investment growth in the CIS countries”.

Abstract. The sukuk market is a large and fast-growing segment of Islamic capital markets. But the challenges that post-Soviet countries, authorities and firms face in the adoption of sukuk strategies are mainly due to the scarce awareness of Islamic finance principles and practices, and to some suspicion of Islamic instruments that does not yet seem well-known and accepted on the global financial markets. In this regard, the current study attempts to describe the history and current state of the global sukuk market based on the evidence obtained from the secondary sources. Data were gathered using the qualitative method of systematic literature review technique. The main empirical corpus was formed from Islamic Financial Services Board and International Islamic Financial Market reports from 2010 to 2022. The initial corpus was then significantly expanded by means of content analysis of open media source. Thus this study synthesizes existing literature on the sukuk market published in the past decade. This study illustrates: (i) the history of the sukuk market starting from 1990s and the evolution of sukuk from the instrument of corporate funding to the instrument of sovereign financing; (ii) dynamics and structure of the global sukuk market, purposes and the currencies of the sukuk issuances; (iii) regional distribution and the key markets for sukuk issuances; (iv) statistics of defaults, pricing policy and yields of sukuk; (v) demand for sukuk and investors’ distribution by types and regions. In conclusion, this study offers new insights into the prospects and challenges of the application of sukuk as an alternative financing instrument in the CIS countries.

Keywords: Islamic finance, Islamic capital markets, sukuk, bonds, investment, post-Soviet studies


1. Kusuma K.A., Silva A.C. Sukuk Markets: A Proposed Approach for Development. World Bank Policy Research Working Paper No. 7133, 01.12.2014. 39 p. Available at: (accessed 05.12.2022).

2. Ahmad N., Daud S.N.M., Kefeli Z. Economic Forces and the Sukuk Market. Procedia – Social and Behavioral Sciences, 2012, vol. 65, pp. 127-133. Available at: 

3. Ben Jedidia Khoutem D. Islamic Banks-Sukuk Markets Relationships and Economic Development: The Case of the Tunisian Post-Revolution Economy. Journal of Islamic Accounting and Business Research, 2014, vol. 5, no. 1, pp. 47-60. Available at: 

4. Nagimova A.Z. Islamic Finance in the CIS Countries. Campbell (California), Academus Pulishing, 2021. 189 p. Available at: 

5. Nagimova A.Z. Raising Arab Capital: Experiences of Russian Regions. World Eonomy and International Relations, 2018, vol. 62, no. 2, pp. 57-61. (In Russ.) Available at: 

6. Nagimova A.Z. Islamic Finance in Russia: Evidence from Market Participants. Voprosy Ekonomiki, 2021, no. 5, pp. 74-90. (In Russ.) Available at: 

7. Nagimova A.Z. Islamic Capital in Kazakhstan. World Eonomy and International Relations, 2021, vol. 65, no. 2, pp. 100-108. (In Russ.) Available at: 


1. Sukuk Report. 10th Edition. IIMF, July 2021. Available at: (accessed 18.11.2022).

2. Sukuk Report. 1st Edition. IIFM, February 2011. Available at: (accessed 18.11.2022).

3. Shari’ah Standard no. 17: Investment Sukuk. Available at: (accessed 19.10.2022).

4. Islamic Financial Services Industry Stability Report 2016. IFSB, May 2016. Available at: (accessed 18.11.2022).

5. Islamic Financial Services Industry Stability Report 2022. IFSB, August 2022. Available at: (accessed 18.11.2022).

6. Sukuk Report. 8th Edition. IIMF, July 2019. Available at: (accessed 18.11.2022).

7. Sukuk Report. 2nd Edition. IIFM, May 2012. Available at: (accessed 18.11.2022).

8. Islamic Financial Services Industry Stability Report 2018. IFSB, June 2018. Available at: (accessed 18.11.2022).

9. Sukuk Report. 7th Edition. IIFM, April 2018. Available at: (accessed 18.11.2022).

10. Sukuk Report. 9th Edition. IIFM, July 2020. Available at: (accessed 18.11.2022).

11. Islamic Financial Services Industry Stability Report 2015. IFSB, May 2015. Available at: (accessed 18.11.2022).

12. Sukuk Report. 3rd Edition. IIFM, April 2013. Available at: (accessed 18.11.2022).

13. Sukuk Report. 5th Edition. IIFM, March 2016. Available at: (accessed 18.11.2022).

14. Islamic Financial Services Industry Stability Report 2017. IFSB, May 2017. Available at: (accessed 18.11.2022).

15. Islamic Financial Services Industry Stability Report 2016. IFSB, May 2016. Available at: (accessed 18.11.2022).

16. Uzbekistan Finalizes Draft Regulations on Sukuk in Preparation for First-Issuance in 2021. Islamic Finance News, 10.11.2020. Available at: (accessed 17.11.2022).

17. A Company from Tatarstan Issued Bonds under Sharia Law for the First Time in the Russian Federation. TASS, 31.08.2017. (In Russ.) Available at: (accessed 20.09.2022).

18. First Islamic Bonds have been listed on AIX. Astana International Financial Centre, 10.03.2020. Available at: (accessed 12.03.2022).

19. Will Sukuk Take Root in Azerbaijan – Experts’ Opinion. Sputnik, 18.09.2021. (In Russ.) Available at: (accessed 20.05.2022).

For citation:
Nagimova A. Islamic Capital Markets: Prospects of the Sukuk Issuance in the Post-Soviet Countries. World Eonomy and International Relations, 2023, vol. 67, no. 4, pp. 81-91. EDN: MLPQRO

Comments (0)

No comments

Add comment






Dear authors! Please note that in the VAK List of peer-reviewed scientific journals, in which the main scientific results of dissertations for the degree of candidate and doctor of sciences should be published for the “MEMO Journal” the following specialties are recorded:
economic sciences:
5.2.5. World Economy.
5.2.1. Economic Theory
5.2.3. Regional and Branch Economics
political sciences:
5.5.4. International Relations
5.5.1. History and Theory of Politics
5.5.2. Political Institutions, Processes, Technologies


Current Issue
2024, vol. 68, No. 7
Topical Themes of the Issue:
  • The Supporting Structure of Global Security
  • Institutional Features of the Fourth Energy Transition
  • The Evolution of Modern German Christian Democracy
  • The Monarchies of the Persian Gulf and Central Asia
Submit an Article
The Editorial Board invites authors to write analytical articles on the following topics:
  • changes in the processes of globalization in modern conditions
  • formation of the new world order
  • shifts in civilization at the stage of transition to a digital society

The editors are also interested in publishing synthesis articles / scientific reviews revealing the main trends in the development of certain regions of the world - Latin America, Africa, South Asia, etc.