Shariah Standing in the Way of Creditors Getting Paid in Dubai
On December 2, 2009 · In Debt Bonds, Defaults, Dubai, Dubai Investment Group, Dubai Islamic Bank, Economic Crisis, Emirates, Islamic Banking, Islamic Bonds, Islamic Economics, Islamic Finance, Islamic Law, Sharia Compliant, Sharia Products, Shariah Bonds, Shariah Finance, Shariah Law, SUKUK
Wealthy investors flocked to the “miracle” of Dubai in recent years. Some invested in Islamic bonds, better known as Sukuk. Sukuk are investments concocted to comply with Shariah law (though there is some debate even about that).
Now, the very Shariah law under which Sukuk were designed could end up swindling creditors out of a chance to get their money back…