07.04.2010 - Could ratings help boost transparency in the trillion-dollar Islamic finance market?
From Knowledge@Wharton: When Dubai's biggest investment conglomerate, Dubai World, stunned markets last November with a request to freeze repayments on $26 billion in debt, the upstart Gulf emirate was met with harsh criticism about its financial transparency. Yet investor ire didn't halt there. The announcement led to fears that Dubai World's real estate subsidiary Nakheel would default on repayment of $4.1 billion in Islamic bonds, known as sukuk. As the news came after a series of high-profile sukuk defaults in the region, some bankers and analysts questioned the sustainability of the trillion-dollar Islamic finance market as well..............................................Full Article: Source
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