Types of Sukuk, Their Classification and Structure in Islamic Capital Market

Abstract

This chapter provides a general discussion on the types of Sukuk, particularly their classification and structures in the Islamic Capital Market (ICM). In the ICM, Sukuk can be classified into two different categories. The first classification is based on the type of structure such as asset-based or asset-backed, whereas the second classification is based on specific Shariah contracts such as murabahah and ijarah. Both structures are used in many Sukuk issuances in the ICM, such as corporate issuances or sovereign issuances in different currency denominations. This chapter covers several important facets of Sukuk, including types of Sukuk such as asset-based and asset-backed, classification of Sukuk based on Shariah contracts such as Sukuk mudarabah and Sukuk musharakah, and many others.