G20 sets sights on sukuk for infrastructure financing

ISTANBUL: The G20 group of major nations has included discussion of Islamic bonds as an infrastructure financing tool in its annual agenda, a move that could potentially spur the use of project-based sukuk.

Developing countries spend about US$1 trillion a year on infrastructure and an additional US$1-1.5 trillion will be needed through 2020 in areas such as water, power and transportation projects, according to the World Bank.