IslamicFinance.de

The structure of Sukuk through the creation of Special Purpose Vehicles (SPVs) provides better transparency thereby reducing corruption and wastage as productive assets must be put to work in order to generate rental incomes for investors, rather than disappearing into offshore banking centres or participating in deliberately over priced projects. In its annual report, Transparency International ranks countries based on expert opinions of public sector corruption. Increased transparency can be used to inspire investor confidence and trust thus leading to increased foreign direct investment.