From “asset-backed” to “asset-light” structures : the intricate history of Sukuk

الملخص EN

This paper traces the development of the Sukuk market through Sukuk case studies.

It discusses how Sukuk has evolved from an assetbacked structure, where Sukuk holders have ownership rights over the underlying asset, to an asset-based structure, where Sukuk holders rank pari passu with unsecured creditors.

This paper subsequently highlights the emergence of the asset-light structure, where the requirement of having tangible assets seems to be rather minimal.

It also discusses the Shariah concerns that arise in the asset-light structure.