The report points out that most sukuks on the African continent are issued in foreign currencies, with rates ranging from around 2% to over 16%. "Ijara" remains the dominant type of Islamic bond.

African countries have issued $5.52 billion in sovereign sukuks to date, representing just 0.7% of the global sukuk market, according to a report released in May by Abbas Chérif, an independent Islamic finance consultant.

The report, notes that the global total of these Sharia-compliant bonds has reached $788 billion, making up about 17% of the overall Islamic finance market. Sukuk issuances worldwide have grown significantly, from $53 billion in 2010 to over $182 billion in 2022.

In Africa, interest in Islamic bonds has been rising for nearly a decade. Nine African countries have issued a total of 773 sukuks: The Gambia, Côte d’Ivoire, Nigeria, Senegal, South Africa, Sudan, Togo, Mali, and Morocco.

The Gambia stands out with the highest number of issuances, totaling 730 operations for modest amounts. The West African country has raised $446 million through short-term sukuks with maturities ranging from 3 to 12 months.

South Africa has mobilized the largest amount, $1.54 billion, followed by Nigeria with $1.43 billion, Senegal with $985.4 million, and Côte d’Ivoire with $460 million.

African sukuk issuances are predominantly in foreign currencies and have rates ranging from about 2% (Morocco, October 2018) to over 16% (Nigeria, September 2017). The most common structure is the "ijara" (lease-based sukuk), though The Gambia frequently uses "Salam" sukuks, akin to forward contracts, where a financial institution pays in advance for future delivery of specified goods.

The report also highlights the growing appetite for sukuks among both investors and issuers in Africa. However, attracting international investors remains a challenge, as evidenced by the distribution of subscribers to South Africa's second sukuk issued in November 2023.