HSBC Bank, perhaps the West’s most shameful pimp for Shariah-Compliant Finance, and a serial violator of Treasury regulations regarding Iran sanctions, is reporting that the market for Shariah-Compliant bonds (known as sukuk or Islamic bonds) is set to break records in 2013 thanks to the proliferation of issues from Gulf states.
Mohammed Dawood of HSBC anticipates that Gulf Cooperation Council states (GCC) will issue between $30 billion and $35 billion in sukuk during 2013.
As we have reported previously on SFW, sukuk are fast becoming the weapon of choice for promoting Shariah through Shariah-Compliant Finance.
Here is how that works:
• As we know from historical records and contemporary statements from Islamic leaders, the purpose of Shariah Finance/Islamic economics is to promote Shariah itself.
• Islamic imperialists are now using the credit markets to force Shariah-compliance worldwide, not just among and between Muslims.
• Sukuk impose Shariah-compliance two ways:
1. Islamic issuers increasingly issue Sukuk rather than conventional debt instruments. Therefore, creditors who want to invest in the credit markets are compelled to invest their money in a Shariah-compliant way.
2. On the flipside, Islamic investors who invest in the credit markets are increasingly insisting on Shariah-compliance, thus compelling issuers/borrowers to issue Sukuk instead of conventional credit instruments, such as debentures. This is happening in the sovereign debt markets, as well as the corporate debt markets. The power wielded by oil-rich Islamic nations, institutional and individual investors makes this form of Islamic imperialism to impose Shariah-compliance globally potentially very powerful.