Sukuk issuance had a stronger than usual start to the year, based on the considerable momentum it had built up in 2021. Total sukuk issuance reached a total of $51.6 billion in Q1 2022, compared to $43.4 billion issued in Q1 2021, according to global data provider Refinitiv. A boost came from sukuk issued by Saudi-based entities, which amounted to $17.9 billion in Q1 2022, outpacing issuances from market leader Malaysia for the first time. Sukuk issuance from Saudi Arabia nearly doubled from $9.3 billion in Q1 2021. The Saudi government ramped up issuance through its domestic sukuk program despite higher oil prices that reached their highest level since the global financial crisis of 2008, amid rising demand for debt from highly rated issuers. The sovereign raised $14 billion during Q1 2022, up from $3.7 billion during the same period in 2021. This included a $7 billion in sukuk in March, issued with the purpose of consolidating domestic public debt under the sukuk program.
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