Bloomberg and IdealRatings announce Sharia Compliant Indicator for Sukuk on Bloomberg Terminal

Bloomberg announced today with IdealRatings, a financial data provider specializing in Islamic finance solutions, the launch of Islamic/Sharia-compliant indicator for fixed income securities (Sukuk) on the Bloomberg Terminal. This indicator, designed by IdealRatings to comply with the Accounting and Auditing Organisation for Islamic Financial Institutions (AAOIFI) guidelines, marks a significant enhancement in the tools available to investors for identifying Shariah-compliant securities.

IdealRatings, known for its rigorous screening, plays a pivotal role in providing the newly launched Sukuk indicator to the Bloomberg Terminal, adhering to globally recognized AAOIFI standards. IdealRatings’ process involves assigning a clear pass, fail, or restricted status to each Sukuk, strictly following AAOIFI’s principles. This contribution is a significant addition to the Bloomberg Terminal’s capabilities in the area of Islamic finance, complementing the existing equities screening flag and enriching its analytical tools.
The demand for Islamic fixed-income securities, notably Sukuk, from global investors has been growing. According to Fitch Ratings, global Islamic Finance assets crossed $3.3 trillion in 2023, with strong growth expected in 2024. The global Sukuk issuance for the second quarter of 2023 also rose by 10% in core Islamic finance markets across the Middle East, Africa, and South Asia, further highlighting the sector's growth and potential.
Giuseppe Netti, Regional Head of Bloomberg, Middle East & Africa said: "This launch represents a milestone in our commitment to developing sophisticated tools for Islamic finance. Our long-standing relationship with IdealRatings reflects our dedication to innovation and our ongoing effort to meet the diverse needs of global investors. The Islamic/Sharia-compliant indicator will empower investors with robust data and analytics, crucial for informed decision-making in the dynamic Islamic financial landscape."
IdealRatings has been a trusted data contributor to Bloomberg for over a decade, and this collaboration is a testament to their combined expertise in financial data services and Islamic finance. The new dataset is poised to be a key resource for global investors seeking to explore opportunities in Islamic markets while adhering to Shariah principles.

Mohamed Donia, CEO of IdealRatings said: “The Bloomberg Sukuk indicator initiative represents a significant step forward in providing the industry with comprehensive and reliable data on Shariah-compliant fixed income securities. This collaboration further strengthens our commitment to delivering innovative solutions that meet the evolving needs of Bloomberg’s global client base."
The Sukuk Shariah indicator is now available on the Bloomberg Terminal to customers worldwide.