Sukuk issuance in China: trends and positive expectations
The paper assesses the potential and importance of Sukuk issuance in China. The research proposes that Sukuk can be used as an alternative financing instrument to materialize the “One Belt One road (OBOR)” strategy. Hong Kong as a gateway of China had launched two Sukuks in 2014 and 2015 respectiv...
| Main Authors: | , , |
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| Format: | Article |
| Language: | English English |
| Published: |
EconJournals
2016
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| Subjects: | |
| Online Access: | http://irep.iium.edu.my/52543/ http://irep.iium.edu.my/52543/ http://irep.iium.edu.my/52543/1/52543-Sukuk%20issuance%20in%20China-full.pdf http://irep.iium.edu.my/52543/7/52543_Sukuk%20issuance%20in%20China_Scopus.pdf |
| Summary: | The paper assesses the potential and importance of Sukuk issuance in China. The research proposes that Sukuk can be used as an alternative financing
instrument to materialize the “One Belt One road (OBOR)” strategy. Hong Kong as a gateway of China had launched two Sukuks in 2014 and 2015
respectively. This paper analyzes the two sovereign Sukuk issuances out of Hong Kong in the last 3 years. Meanwhile, by conducting un-structured
interviews of the potential issuers and related scholars, it is found that Sukuk issuance in China will face some challenges such as policies and regulations
of Sukuk, tax and stamp duty issues, investors’ protection, establishing of Shariah Supervisory Committee, etc. However “OBOR” initiative provides
the best opportunity for Sukuk to move forward in China. |
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