Sukuk: Its Definition and Characteristics It is evident that the contemporary era denotes Islamic capital markets which recognize the issuance of Shari'a compliant financial instruments called Sukuk ( Godlewski, Turk-Ariss, & Weill, 2011). From a corporate perspective, the term Sukuk refers to Shari'a compliant securities and investment principles, which arguably prohibit various Shari'a laws stated such as riba or the payment or acceptance of interest (Shaikh & Saeed, 2010 ). According to the Accounting and Auditing Organization of Islamic Financial Institutions or AAOIFI, Sukuk are certificates of equal value representing undivided shares in the ownership of tangible assets, usufructs and services or (in the ownership of) assets of particular projects or special investment activities (Bi, 2008). The Sukuk market, in particular, has experienced extensive growth and development on a global scale due to which the best financial intermediation approach is applied. The Sukuk market has been largely dominated by government debt securities, which manifests the growing need for continuous and long-term financing needs from the private sector. Furthermore, it has proven to be of great importance in its role during an economic recession (Zin, Hashim, Khalid, Opir, & Sulaiman, 2011). The growing demand for Sukuk issuance has represented a significant trend in the global financial system, considering that Sukuk, in its context, has advantages and favorable characteristics. As noted by Mohamed (2008), the advantages of sukuk are essentially reflected in the fact that sukuk are tradable, which provides a long-term fixed or variable percentage of return. Furthermore, the sukuk is also considered to be tradable in secondary markets… mid-paper… et, whereby the price includes the cost of the asset plus an agreed profit margin for the seller (Jamaldeen, n.d.). In such cases, the issuer of the contract is the seller of the Murabahah product or merchandise and the subscribers are the buyers of those particular goods. These subscribers are entitled to the agreed sales price upon resale of the goods. Of note, a Murabahah Sukuk cannot be bought and sold on the secondary market and the certification indicates a liability owed by the subsequent purchaser of the commodity to the holders of the Sukuk. This is because Shari'a law has emphasized that late debt trading is not permitted (Zin, Hashim, Khalid, Opir, & Sulaiman, 2011). Figure 8 shows the structure and execution timeline of Murabahah Sukuk issuance, as applied by a Malaysian domestic mortgage company, Cagamas.