Middle East sustainable bond issuance is on track to reach between $20 billion and $25 billion in 2026, according to S&P Global Ratings. Regional issuance rose about 3% in 2025 even as global volumes fell 21%, with Saudi Arabia and the UAE — which together accounted for 80% of 2025 regional sustainable bond issuance — largely offsetting a sharp slowdown in Turkish issuance.
Sustainable sukuk issuance hit a record $11.4 billion in 2025, up from $7.9 billion in 2024, and now makes up more than 45% of regional sustainable bond value by volume. S&P expects green bonds to keep dominating the market, with further growth likely in sustainable sukuk, transition finance and, to a lesser extent, blue bonds.
SOURCEArab News