Financing Infrastructure Projects with Application of Sukuk

(Pages 1527-1534)

Md. Aminul Islam1,*, Md. Golzare Nabi2, Muhammad Nazmul Hoque3 and Md. Sharif Hassan4
1Faculty of Business and Communication, Universiti Malaysia Perlis, Malaysia, Faculty of Business and Entrepreneurship, Daffodil International University, Bangladesh.
2Bangladesh Bank Training Academy (BBTA).
3Faculty of Accountancy, Universiti Teknologi MARA Cawangan Selangor, Kampus Puncak Alam, 42300 Bandar Puncak Alam, Selangor, Malaysia.
4Faculty of Business and Communication, Universiti Malaysia Perlis, Malaysia, & Department of Business Administration, University of Asia Pacific, Dhaka, Bangladesh


Purpose: The current study seeks to examine the key roles of sukuk for financing infrastructure projects in OIC countries and suggest for steps toward building a vibrant sukuk market capable to support infrastructure projects for attainment of inclusive growth.
Design/methodology/approach: For obtaining the objectives of the study, it applies descriptive qualitative research method based on secondary data. The paper reviews relevant literatures and uses necessary chart to explain the pertinent issues.
Findings: The study identifies great potentials of financing infrastructure projects through use of sukuk in OIC and non-Muslim majority countries which include rising trend of GDP and trade in OIC countries, success of Islamic banking, rising Muslim population, robust growth of halal industry, presence of tech-savvy young people in large number, huge gaps in physical and social infrastructures, excess liquidity in Gulf regions, growing demand for Shariah financial services for diversification of investment and increasing role played by government, regulatory agencies and multilateral bodies.
Research limitations/implications: The major limitation of this study lies in the use of secondary data only. Future research may consider mixed method techniques to provide insightful information for necessary policy directions. In particular, data collected from stakeholders of sukuk through structured questionnaire may add significant value to policy directions.
Originality and value: The study points out potentials of sukuk as infrastructure financing tool and offer policy directions for promoting sukuk market in OIC countries. Attention of research on sukuk is less compared to Islamic banking and hence the present study is an attempt to fill the gaps on research of sukuk.


Infrastructure, financing projects, Sukuk, Muslim majority countries.

JEL classification:

JEL classification: G0, G1, G15, G28, H54, O1, O2, Z12.

How to Cite:

Md. Aminul Islam Md. Golzare Nabi, Muhammad Nazmul Hoque and Md. Sharif Hassan. Financing Infrastructure Projects with Application of Sukuk. [ref]: vol.21.2023. available at:

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