Islamic finance industry to sustain growth – Report

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Fitch Ratings has predicted a sustained growth trajectory for the Nigerian Islamic finance industry in 2023 and 2024.

The report said the growth would ride on the back of government sukuk issuance and policy push but was still likely to remain nascent in the medium term.

The report said the size of the Nigerian Islamic finance industry was estimated at $2.9bn as of 2022, with outstanding sukuk being the largest segment at 57 per cent, followed by Islamic banks at 42 per cent, and the remaining one per cent between Islamic funds and takaful. “The Securities and Exchange Commission is aiming to make Nigeria a hub in Africa for Islamic capital-market products as part of the government’s ‘Revised Plan 2021-2025.”

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