Abstract

Abstract

Shariah-compliant Sukuk have recently been recognized as a promising financial product among Islamic financial institutions and are among the world’s fastest-growing sectors. Furthermore, Sukuk plays a crucial and influential role across multiple aspects of the economy and financial services, and it also holds a privileged position in financial markets and international money markets. Bangladesh’s path to Sukuk was fraught with difficulties. Bangladesh started its journey toward Sukuk with a bag of challenges. The paper empirically investigates challenges related to Sukuk market development in Bangladesh. Descriptive statistics were used to identify the existence and dimensions of challenges facing Islamic financial organizations’ Sukuk in Bangladesh. The study found that the selected challenges affected the development of Sukuk in Bangladesh. Finally, the paper proposed policies to address challenges with Bangladesh’s Sukuk bonds.