The Islamic debt market declined by around 12 percent to $120 billion last year, due in part to market jitters over when the Federal Reserve would start tapering its massive bond-buying program. However, Fitch expects 2014 issuance to be at least in line with 2012's record of $137 billion.
There is a "captive audience" for sukuks and other Islamic-compliant assets, due to rising numbers of financial institutions with Shariah-only investment remits, according to Omar Sheikh, an executive board member of the Islamic Finance Council. In addition, sukuks are of particular interest to high net worth individuals and sovereign wealth funds in Muslim countries, even those that are happy to invest outside of Islamic finance.
(Read more: Wealthy Islamic banks look West)
In addition, sukuks are increasingly accepted by Western investors as an alternative to conventional bonds, in part because they are perceived as low risk because they are always tied to underlying assets.
"The Islamic finance sector is posting double-digit growth international and there is demand for assets across the spectrum," said Sheikh. "There is more investor awareness and increased availability, as international players and bankers like Deutsche Bank, Standard Chartered and HSBC come into the sector to meet underlying consumer demand, for instance from the retail market in Malaysia."
Al Natoor forecast several non-Muslim countries would tap the market for the first time in 2014, including the U.K., where Prime Minister David Cameron has said he plans to launch a £200 million ($327 million) deal.
(Read more: UK government set to issue Islamic bonds)
Both Luxembourg and Hong Kong have also recently taken steps to legislate for sukuk deals, and several sub-Saharan Africa countries are considering issuance.