Kuwait-Mubasher: Kuwait Finance House (KFH), the largest Islamic lender in Kuwait, traded sukuk worth more than $4.4 billion in 2015, a rise of 46% compared with a year earlier.

Such trading boosts the lender's liquidity as well as Islamic financial markets.

Sukuk is an important investment instrument with low risks, and thus helps overcome the liquidity crisis, said AbdulWahab Al-Roshood, general manager of kuwait treasury at KFH, explaining that the sukuk is traded on a flexible secondary market that records strong yields.

Concerning Basel III requirements, Al-Roshood said the new conditions applied since 2015 as regards the capital adequacy ratio weighed on the sukuk issues this year.