Bayt Al Mal Capital continues to strengthen its presence in Islamic capital markets
Bayt Al Mal Capital participates in major sukuk issuances amid the impact of global monetary policies
Translated by Qiyas from الأنباء — Original source
Global sukuk markets demonstrated a notable ability to adapt to global economic shifts during the third quarter of 2026, amid ongoing uncertainty linked to monetary policies, rising interest rates, and geopolitical challenges that affected debt market dynamics and issuers’ willingness to enter the markets. Despite these conditions, sukuk maintained their status as one of the most important Sharia-compliant financing and investment instruments, benefiting from sustained demand from regional and global institutional investors.
According to the latest market data, total international sukuk issuances denominated in US dollars reached approximately $41.94 billion since the beginning of 2026, reflecting continued activity in the Islamic finance market, albeit at a slower pace compared to the same period last year. These results come as investors and financial institutions continue to focus on instruments with high credit quality and issuances that offer a balance between yield and risk.
The third quarter witnessed significant developments in global monetary policy, with the US Federal Reserve raising interest rates by 25 basis points, while the European Central Bank continued its tightening policy by raising interest rates for the second time during the year. These moves impacted global fixed-income markets, leading to higher yields on bonds and sukuk across various maturities, which increased financing costs and negatively affected issuance activity, as pricing levels were unsuitable for many issuers, causing issuance rates to decline or some issuances to be postponed.
Global yield curves also recorded notable movements during the period, particularly in the United States, where short- and medium-term government bond yields rose faster than long-term bonds, signaling market expectations that interest rates would remain at elevated levels for longer. These developments influenced financing strategies and portfolio management, underscoring the importance of careful planning for issuance operations and choosing the right timing to enter the markets.
Amid these changes, Bitex Capital continued to play a pivotal role in Islamic capital markets through its participation in several prominent regional and international sukuk issuances, leveraging its specialized expertise and extensive network of investors and financial institutions worldwide. During the third quarter of 2026, Bitex Capital acted as lead manager for three notable issuances by leading financial institutions and companies, reinforcing its position as one of the key participants in the international sukuk market.
Among the most prominent of these issuances was the Saudi Company for Refinancing Housing’s issuance of international sukuk worth $2.75 billion, which saw strong investor demand, with subscription orders exceeding $13 billion, more than four times the size of the issuance. This success reflects continued confidence in Gulf issuances and the ability of issuing entities to attract liquidity from various global markets.
Bitex Capital also contributed to the Islamic Development Bank’s issuance of $1.5 billion in five-year sukuk, where final subscription orders exceeded 1.8 times the issuance size. The success of this transaction confirms sustained demand for issuances with high credit ratings and investment-grade quality, which form a core component of many global investment portfolios.
Among prominent Kuwaiti issuances, Bitex Capital participated in the Kuwait International Bank’s (KIB) issuance of $500 million in sukuk, where investor demand reached $1.2 billion, equivalent to 2.4 times the issuance value. This success reflects investor confidence in the Kuwaiti banking sector and its ability to efficiently access global markets.
Collectively, these transactions underscore the growing role Bitex Capital plays in connecting issuers with investors, providing comprehensive solutions that include sukuk structuring, bookbuilding management, investor marketing, and execution of transactions according to the highest professional standards. They also demonstrate the company’s ability to operate across various markets
and sectors, whether for sovereign issuances or those by financial institutions and companies. The market also witnessed other issuances, including the first issuance of additional Tier 1 (AT1) sukuk by Ajman Bank, valued at $300 million. In Southeast Asia, Malaysia’s sovereign issuance of $1.5 billion attracted orders exceeding $9.5 billion. At the sovereign level, Saudi Arabia issued $3.25 billion under its dedicated International Sukuk Ijarah program, with subscription orders reaching approximately $16.5 billion.
As the Islamic finance industry continues to evolve and sukuk grow in importance as a key financing and investment instrument, Bitex Capital continues to leverage its expertise and capabilities to support clients in accessing regional and global capital markets. This approach reinforces the company’s position as a strategic partner for institutions seeking to diversify their funding sources and capitalize on opportunities in the global sukuk market.
Against the backdrop of the current economic environment, characterized by rapid transformations, specialized expertise and the ability to access global investors remain among the most critical factors for successful issuance operations.
With a track record rich in achievements and continuous participation in prominent regional and international deals, Bitex Capital continues to solidify its position as one of the leading players in Islamic capital markets, making a significant contribution to the growth and development of the sukuk industry at both the regional and global levels.
