Welcome to the Weekly Brief. Our editors have curated the top Shariah-compliant market movements affecting your portfolio this week.
Islamic Finance Market Projected to Reach $7.7 Trillion by 2033, Signaling Massive Growth for Compliant Investors
A new report from Allied Market Research reveals that the global Islamic finance market, valued at $2.5 trillion in 2023, is expected to surge to $7.7 trillion by 2033, growing at a compound annual growth rate of 12%. This unprecedented expansion is driven by increasing demand for Shariah-compliant products, regulatory support in emerging markets, and a rising global Muslim population seeking ethical financial solutions. For individual investors, this trajectory indicates a widening array of investment vehicles, from asset-backed funds to compliant banking products, ensuring greater liquidity and diversification opportunities. The growth also suggests that institutional capital is increasingly recognizing the stability and long-term value of Islamic finance, which can lead to more competitive returns for retail participants. As the market matures, compliance standards will likely become more robust, enhancing investor confidence and reducing risk in Shariah-aligned portfolios.
Investor Takeaway: The rapid market expansion offers individual investors a prime opportunity to diversify into high-growth, ethical assets while securing long-term portfolio stability through Shariah-compliant instruments.
Source: Allied Market Research
Global Sukuk Market Hits Record $300 Billion Issuance in 2025, Dominated by GCC Sovereigns and Green Projects
Fitch Ratings reports that global Sukuk issuance reached a record $300 billion in 2025, a 25% year-on-year increase, with the Gulf Cooperation Council (GCC) countries leading the surge. This milestone is fueled by sovereign infrastructure financing, Saudi Vision 2030 projects, and a growing adoption of green Sukuk for climate-focused investments. The total outstanding Sukuk market now exceeds $875 billion, surpassing the European high-yield and Swiss bond markets in size. For individual investors, this growth translates into access to stable, asset-backed fixed-income opportunities that align with religious principles. The rise of green Sukuk also allows investors to support environmentally sustainable projects while earning Shariah-compliant returns. As issuance diversifies across currencies and sectors, retail investors can benefit from enhanced liquidity and reduced concentration risk in their compliant portfolios.
Investor Takeaway: Record Sukuk issuance provides individual investors with access to stable, asset-backed fixed-income returns while enabling participation in sustainable, green infrastructure projects aligned with Shariah principles.
Source: Fitch Ratings
Arab National Bank Returns to Sukuk Market with Successful Saudi Riyal-Denominated Issuance, Marking Strategic Reentry
Arab National Bank (ANB) of Saudi Arabia successfully closed a Saudi riyal-denominated Sukuk issuance, marking its return to the Islamic capital market after six years since its last paper in 2020. This strategic reentry underscores the bank’s commitment to expanding its Shariah-compliant funding base and leveraging the robust demand for high-quality Sukuk in the region. The issuance is expected to strengthen ANB’s liquidity position and support its growth in retail and corporate banking segments. For individual investors, ANB’s return signals confidence in the stability of the Sukuk market and offers a new, reliable investment option backed by a leading financial institution. The bank’s focus on Shariah compliance ensures that investors can access fixed-income returns without compromising religious principles. As major banks like ANB reenter the market, the overall depth and diversity of compliant investment opportunities for retail participants will continue to expand.
Investor Takeaway: ANB’s strategic reentry into the Sukuk market offers individual investors a new, high-quality fixed-income option backed by a leading Saudi bank, ensuring Shariah-compliant returns with enhanced portfolio stability.
Source: Islamic Finance News
Halal Mortgages Gain Momentum in the US, Offering Interest-Free Home Loans for Muslim Families Seeking Ethical Housing
Access to halal mortgages, which provide interest-free housing loans, is growing significantly in the United States, enabling Muslim families to purchase homes without compromising their religious principles. This trend is driven by increasing demand for Shariah-compliant financial products and the development of innovative mortgage structures that align with Islamic finance guidelines. For individual investors, the rise of halal mortgages indicates a broader acceptance of ethical financial solutions in mainstream markets, creating opportunities for investment in compliant real estate funds and housing-related assets. As more institutions adopt halal mortgage models, the market for Shariah-aligned personal banking products will expand, offering investors diverse ways to participate in the housing sector while adhering to religious values. This growth also reflects a shift toward more inclusive financial systems that cater to the needs of religiously conscious consumers.
Investor Takeaway: The growing availability of halal mortgages in the US offers individual investors access to ethical real estate opportunities, enabling participation in the housing sector while maintaining full Shariah compliance.
Source: The Conversation
Sukuk Market Enters 2026 with Strong Fundamentals, Projected to Reach $4.19 Trillion by 2034 Amid Green and Sovereign Demand
IMARC Group forecasts that the global Sukuk market, valued at $1.376 trillion in 2025, will reach $4.19 trillion by 2034, growing at a CAGR of 12.51%. This expansion is driven by OIC sovereign infrastructure financing, Saudi Vision 2030, and the rising adoption of green Sukuk for climate initiatives. The market’s strong fundamentals in 2026 reflect sustained investor confidence and increasing diversification across currencies and sectors. For individual investors, this trajectory promises a wealth of stable, asset-backed investment opportunities that align with Shariah principles. The emphasis on green Sukuk also allows investors to support environmentally sustainable projects while earning compliant returns. As the market matures, retail participants will benefit from enhanced liquidity, reduced risk, and a broader range of compliant fixed-income instruments, making Sukuk an increasingly attractive component of diversified Islamic investment portfolios.
Investor Takeaway: The projected $4.19 trillion Sukuk market by 2034 offers individual investors access to stable, asset-backed returns with the added opportunity to support green, climate-focused projects while maintaining full Shariah compliance.
Source: IMARC Group
Disclaimer: This brief is for informational purposes only and does not constitute financial advice.