From Globalarabnetwork.com: Moody’s Investors Service has assigned a Aaa rating, with a stable outlook, to the Islamic Development Bank’s US$ 1.5 billion Sukuk MTN program.

Under the proposed sukuk structure, trust certificates (”certificates”) will be issued by IDB Trust Services Limited, a Jersey-based finance vehicle…………..Full Article: Source

From Bloomberg: Gulf Finance House EC, the Bahrain- based Islamic investment bank, plans to offer stock to existing shareholders to boost its capital by $300 million.

The shares have a nominal value of $0.33 apiece, according to a company statement posted on the Dubai bourse today. The bank’s board will decide on the final offer price, it said……………Full Article: Source

From Bernama: Bank Simpanan Nasional (BSN), the country’s national savings bank, is aiming to give out RM250 million in personal financing during the duration of the Islamic Banking Month campaign.

During the campaign period, which began in July and ends in September, BSN also targets to give out between RM100 million and RM150 million in home loans……………Full Article: Source

From Mydigitalfc.com: Shriram Life Insurance is launching pension plan to woo Muslim investors and to offer alternative investment options to its customers.
The insurer’s new pension plan, to be launc­hed next week, will also offer a Shariah-compliant option. The company has already received approval from the Insurance Regulatory and Development Authority (Irda)……………Full Article: Source

From Globalarabnetwork.com: The performance of commercial mortgage-backed securities (CMBS) and multi-family transactions in Europe, the Middle East and Africa (EMEA) exhibited further deterioration during Q2 2009, says Moody’s Investors Service in its latest Surveillance Report for the sector.
The rating trend of EMEA CMBS in Q2 2009 was significantly negative, with many transactions experiencing multiple notch downgrades, driven mostly by loan performance-related concerns……………Full Article: Source

From Arabianbusiness.com: Being ranked as one of the richest countries in the world is not enough for Qatar, which is focused on doubling its current visitor numbers by 2010.
Qatar is the richest nation in the GCC and one of the richest in the world with a GDP per capita in 2008 of almost US $72,000, according to the latest Global Insight from Jones Lang LaSalle (February 2009)……………Full Article: Source

From Reuters: Holders of a $650 million Islamic bond issued by a unit of troubled Saudi firm Saad have been asked to vote on dissolving the sukuk, trustee Citi said on Tuesday.

Citi said a “dissolution event” had taken place, triggering the bondholder vote………….Full Article: Source

From Forbes: South Korea plans to offer a tax waiver on foreign investors’ interest income from sukuk issued by its companies to encourage fund raising from Islamic bond markets, the Ministry of Strategy and Finance said on Tuesday.

Foreign nationals are currently exempted from such taxes on investments in foreign currency-denominated bonds issued by South Korean firms, but the rule does not apply to sukuk due to the different structure of Islamic bonds, the ministry said………….Full Article: Source

From Bernama: CIMB-Principal Islamic Asset Management Sdn Bhd aims to grow its assets under management to US$1.7 billion by year-end given the high potential market for Islamic-based instruments globally, chief executive Datuk Noripah Kamso said Tuesday.

The company, which is an offshoot of CIMB Principal Asset Management Bhd, has about US$1.3 billion in assets under management as at June 30, 2009………….Full Article: Source

From Bernama: Malayan Banking Bhd’s pre-tax profit for the financial year ended June 30, 2009 fell 59 per cent to RM1.67 billion from RM4.09 billion last year.

The profit was achieved over an 8.9 per cent rise in revenue to RM17.586 billion against RM16.153 billion previously………….Full Article: Source

From Brisbanetimes.com.au: Macquarie Group is eyeing a bigger role in the Middle East and has entered a joint venture with one of the region’s key Islamic investment banks.

The planned tie-up with Gulf Finance House is a boost for Ahmed Fahour, the former National Australia Bank executive who took charge of the Bahrain investment bank this month………….Full Article: Source

From Tradearabia.com: Bahrain-based Gulf Finance House (GFH) aims to have its planned partnership with Australia’s Macquarie Group operational by the beginning of 2010, a GFH executive said on Tuesday.

GFH said on Monday it plans to set up a shariah-compliant joint venture with the Australian bank for the Middle East and North Africa region………….Full Article: Source

From Tradearabia.com: National Bank of Kuwait (NBK), the leading bank in Kuwait, has launched a 0% promotion during the Ramadan and Eid period for its credit card, car and retail loan customers.

“We want to make this Ramadan and Eid special for our customers with a 0% offer covering credit cards, car loans and retail loans, and also reward customers for banking with NBK,” said Abdullah Al Najran Tuwaijri, deputy general manager – consumer banking group, NBK………….Full Article: Source

From Gulf-times.com: International Bank of Qatar’s (IBQ) Al Yusr Islamic banking services yesterday launched the annual ‘Do Good Deeds’ campaign.
It comprises several community-serving initiatives to engage and support various sectors of the public during the holy month of Ramadan………….Full Article: Source

From Gulf-daily-news.com: International Investment Bank (IIB) remains hopeful of an improvement in investors’ sentiment during the second half of the year after suffering a small loss in the first six months.

Several deals are being looked at for later in the year and the bank is in the healthy position of having no borrowings or off balance sheet commitments………….Full Article: Source

From Gulfnews.com: Mashreq Bank, one of the largest financial institutions in the UAE, Monday said it has unveiled 16 new branches throughout Abu Dhabi and Al Ain as part of its expansion plans in the capital.

This increased presence is a result of the rise in customer demand, and future growth plans include 10 new ATM machines, bringing the total to 46………….Full Article: Source

From Gulfnews.com: Ahmad Hamad Algosaibi & Bros, the Saudi conglomerate that accused Saad Group chairman Ma’an Al Sanea of a $10 billion (Dh36.73 billon) fraud, said Mashreq Bank PJSC helped Al Sanea.

Algosaibi sued in the New York State Supreme Court on May 22 alleging that Al Sanea “organised a massive fraud” through transactions he brokered at the Money Exchange, a financial arm of the Algosaibi group………….Full Article: Source

From Thepeninsulaqatar.com: The Central Bank of Jordan said yesterday it sold six-month T-bills worth 100m dinars ($141m), with the average yield rising to 3.187 percent compared with 3.058 percent at the previous auction on August 19.

The CBJ had invited offers for 100m dinars worth of treasury bills at the auction………….Full Article: Source

From Kuwaittimes.net: UAE banks, whose second-quarter profits were hit by credit provisions, may see growth curbed by difficult funding conditions but their overall profitability is attractive, Goldman Sachs said yesterday.
The bank earlier revised its ratings and stock price targets on five UAE banks………….Full Article: Source

From Gulfjobsmarket.com: Abu Dhabi Commercial Bank PJSC, the United Arab Emirates’ third-biggest bank by assets, will provide a 300 million-dirham ($81.7 million) loan to Dubai Silicon Oasis Authority to fund the development of a technology park.

The Mudarabah Islamic loan to part-finance the development of facilities in Dubai Silicon Oasis will be provided by the bank’s Islamic unit ADCB Meethaq, it said in an e-mailed statement today………….Full Article: Source

From Linexlegal.com: Islamic finance had its start in the 1960s and 1970s with the influx of petrodollars into the Gulf region.
The rapid development of Middle East markets - Saudi Arabia, Kuwait and the United Arab Emirates - has stoked interest in a type finance that is based on the principles of Shari’a. Industry experts estimate that Islamic finance has enjoyed double digit annual growth with nearly USD 1 trillion put to work in Shari’a structures………….Full Article (Subscription Required): Source

From Business24-7.ae: The mortgage market in Saudi Arabia continues to be limited due to the delay in passing of the new mortgage law, said a report.

“Finance options are still largely unavailable due to a price sensitive population. There has been significant economic ‘trickle down’ to the local population, but although the mid-income sector now has resources to buy accommodation, it continues to be frustrated by a lack of available land and mortgage finance,” CB Richard Ellis said in a market view report on Saudi Arabia’s residential market………….Full Article: Source

From Arabnews.com: The annual growth in Saudi Arabia’s M3 money supply fell for a third month in a row in July to 15.3 percent, as loans to the private sector posted their lowest annual expansion in at least three years.

Bank claims on the private sector, a key indicator of lenders’ confidence in the economy, stood at SR728.84 billion in July, inching up from SR728.7 billion in June, according to data published by the Saudi Arabian Monetary Agency (SAMA) on Tuesday………….Full Article: Source

From Twocircles.net: Charity, for which the expression used in the Holy Quran is “spending out of what God has given you”, means using your energy, talent, resources, money, possessions, or whatever else, to help and do good to those in need.
In Islam charity is very often mentioned alongside prayer because just as the latter is man’s relation with God, or man’s duty towards God, the former (charity) represents his relation with his fellow-beings, and indeed with all the creation of God………….Full Article: Source

From Khaleejtimes.com: Growth in UAE banks is likely to be challenged by tough funding conditions, including rising loan defaults and a marked increase in provisions for losses, but their profitability levels will continue to be attractive, Goldman Sachs said.

The bank said in a report on Monday that despite significant support from local governments that boosted funding and capitalisation, UAE banks’ earnings could be curbed by future loan losses and funding constraints that could impair growth potential………….Full Article: Source

From Thepeninsulaqatar.com: International banks stress their commitment to the Gulf region and local houses insist they will continue to lend to support sagging economies, but syndicated lending has nonetheless plunged this year.

So far this year, only $22.8bn of syndicated loans, project finance and bonds have been issued in the Middle East, down from $85.5bn last year and a peak of $126.9bn in 2007, says Dealogic, a data provider………….Full Article: Source

From Gulf-daily-news.com: Gulf Finance House (GFH) intends to establish a joint Islamic financial services venture in the Middle East with Australian-based Macquarie Group.
The Australian bank is a global provider of banking, financial, advisory, investment and funds management services and is keen to have a presence in the region and North Africa and use GFH expertise to develop Sharia-compliant products………….Full Article: Source

From Bloomberg: Macquarie Group Ltd., Australia’s largest investment bank, may invest about $100 million in Gulf Finance House EC as part of a proposed joint venture to offer Islamic financial services in the Middle East and North Africa.

Macquarie signed a memorandum of understanding today with and Gulf Finance House, the Bahrain-based Islamic investment bank said in an e-mailed statement………….Full Article: Source

From Aawsat.com: Moody’s Investors Services recently issued a report on Islamic banking in which the credit-rating agency identified several points of weakness that it believes in future will threaten these Islamic financial institutions and their credit rating.

The truth is that the report brought nothing new to the table with regards to highlighting the points of weakness that Islamic banks suffer from as highlighted by many specialists in this industry. Many of these points have previously been made in this column, as they are no secret to any of the observers who follow the Islamic banking industry………….Full Article: Source

From Btimes.com.my: RHB Capital Bhd said its second quarter net profit rose 11 per cent to RM301.53 million from a year ago, driven mainly by its Islamic banking business.

The banking group, controlled by the Employees Provident Fund, remains optimistic about its full year results as the local economy improves and as it strengthens its retail and corporate investment bank units………….Full Article: Source

From Xinhua: Bank Islam Malaysia Berhad, a Malaysian Islamic bank, has invested significantly in IT solutions spanning over a period of five years.

Jeroen Thijs, the bank’s Chief Risk Officer, said here on Monday that the initial stage of the investment would see a risk management system being put in place………….Full Article: Source

From Ittefaq.com: Grameenphone Ltd. has recently signed Business Solutions Agreement with the Social Islami Bank Ltd. to provide complete communication facilities under its Business Solutions package.

Business Solutions is an integrated telecommunications service specially designed for the business entities of Bangladesh, providing customized telecommunications solutions through a consultative approach, tailored to the needs of individual businesses………….Full Article: Source

From Tradearabia.com: Moody’s has downgraded the bank financial strength rating (BFSR) of HSBC Bank Middle East (HBME) to C from C+ and its long-term local currency debt rating and foreign currency deposit and debt ratings to Aa3 from Aa2.

The rating outlook is now stable………….Full Article: Source

From Kuwaittimes.net: Panic withdrawals by depositors and a thick cloud of uncertainty are shaking Nigeria’s financial sector after the sacking of the directors of five key ailing banks, operators and analysts said.

Central Bank of Nigeria (CBN) governor Sanusi Lamido Sanusi earlier this month removed the heads of Afribank, Intercontinental Bank, Union Bank, Oceanic Bank and Finbank for piling up billions of dollars in bad debts………….Full Article: Source

From Ameinfo.com: Bahrain’s national carrier Gulf Air has signed a $70m facility with Bahrain Islamic Bank (BIsB). An agreement to this effect was concluded between the two organizations recently.
This four year medium-term facility will be used to partly finance eight A320 aircraft, which are expected to delivered in the fourth quarter 2009 and first quarter 2010 Gulf Air has ordered last year………….Full Article: Source

From Uaeinteract.com: Abu Dhabi Commercial Bank (ADCB) has approved a Mudaraba Medium Term Facility worth Dh300 million for the developer of the region’s premier integrated innovations hub for high-tech industries, Dubai Silicon Oasis (DSO).
The funds will be used by Dubai Silicon Oasis Authority (DSOA) to part finance the development of facilities within the technology park …………Full Article: Source

From Gulfnews.com: Mashreq Bank, one of the largest financial institutions in the UAE, Monday said it has unveiled 16 new branches throughout Abu Dhabi and Al Ain as part of its expansion plans in the capital.

This increased presence is a result of the rise in customer demand, and future growth plans include 10 new ATM machines, bringing the total to 46………….Full Article: Source

From Dailymirror.lk: RAM Ratings Lanka’s one-day conference on Sukuk: Alternative Financing in Sri Lanka will kick off today at the Colombo Hilton.

The conference will bring together market participants, regulators and policy makers to discuss both the opportunities and challenges that this new financing option offers to both investors and businesses………….Full Article: Source

From Reuters: The Kuwait Investment Authority (KIA), which owns a stake in telecoms operator Zain among other publicly traded assets, has no set plans to sell its positions in listed companies, a newspaper said on Monday.

Daily al-Qabas cited unidentified sources as saying the sovereign wealth fund, which sold its stake in an Islamic lender in July, had not established a plan to divest assets but considered each offer on an individual basis………….Full Article: Source

From Arabianbusiness.com: Real estate prices in Kuwait increased 15 percent in July, according to a new report. The return of Kuwait Finance House and other Islamic financial institutions to the property lending market have contributed to the increase, Kuwait-based Emaar Company for Real Estate Services said in its report.
Property owners reacted positively to the move and transactions increased during the month across all Kuwaiti governorates, the report added, cited by KUNA News Agency, added………….Full Article: Source

From Khaleejtimes.com: The total value of mortgages issued in Dubai rose during the second quarter by 14.3 per cent to Dh8 billion, up from Dh7 billion in the first quarter, as banks made its easier for real estate buyers to get credit, according to a property industry report.

Mortgage rates in the United Arab Emirates are declining due to changes in market dynamics and are generating new interest from buyers and end-users, online real estate information company REIDIN.com said in a report on Monday………….Full Article: Source

From Tradearabia.com: Takaful International Company is to increase its paid-up capital by BD1 million ($2.65 million) through a rights issue.

The move is to support its underwriting operations and the expansion of business as well as to enhance underwriting capacity of its insurance portfolios………….Full Article: Source

From Tradearabia.com: Dubai Gold Securities, a sharia compliant Exchange Traded Commodity (ETC) backed by physical gold, has accepted Morgan Stanley to trade its product on the Nasdaq Dubai stock exchange, the firm said.

‘The fact that Morgan Stanley has chosen to become an applicant is indicative of the growing institutional interest in, and awareness of, Dubai Gold Securities,’ said Grant Collins, senior managing director at Dubai Commodity Asset Management, the marketing agent for Dubai Gold Securities………….Full Article: Source

From Ameinfo.com: Reinforcing its initiatives in the social space, Ministry of Finance (MOF) has announced significant support to the ‘Mafhas Al Qatat’ program launched by the General Authority of Islamic Affairs and Endowment (GAIAE) for constructing mosques across the United Arab Emirates.
As part of their support for building mosques, the MOF staff donated funds to the GAIAE delegation during its recent visit to the Ministry’s headquarters, realizing that mosques strengthen religious, spiritual and cultural aspects of all segments of society………….Full Article: Source

From Arabnews.com: The Saudi sukuk market has grown considerably over the last few years and has the potential of becoming a major vehicle for raising finance for local corporates and utilities and an investment portfolio diversification for both local and foreign investors.

While a report published in August by Jadwa Investment confirms the above, Islamic investment bankers and investors abroad are much more cautious about investing abroad including the Kingdom because of prevailing bond market conditions and the general global economic and financial slowdown………..Full Article: Source

From Business24-7.ae: Unlike the first quarter of the year, equity funds registered for sale in the GCC recorded a whopping 30.45 per cent increase in the second quarter, moving year-to-date 2009 to positive territory (plus 21.14 per cent), according to the latest GCC Fund Market Insight Report from Lipper.

This result contrasted clearly with the minus 12.55 per cent return posted during the first half 2008. Almost all Lipper equity categories finished H1 positively, with the exception of funds invested in Germany, which decreased 2.32 per cent………..Full Article: Source

From Zawya Dow Jones: Creditors of the $650 million Golden Belt Sukuk may dissolve the bond and try to recover their cash before claims pile up against its issuer, financially-troubledbillionaire Maan Al Sanea, persons familiar with the matter said.

“A letter will be delivered to the obligator to talk with creditors,” a banker involved in the sukuk told Zawya Dow Jones. “Al Sanea will have seven days to respond and if he doesn’t we’ll go after his personal assets. The sukuk is backed with a personal promissory note.” ……….Full Article (Subscription Required): Source

From Arabnews.com: The recent 5-year $1.5 billion Sukuk Al-Ijarah (leasing sukuk) issued by Malaysian state oil company, Petroliam Nasional Bhd (Petronas), marks a new era of bond and sukuk (Islamic securities) issuance in the country.

From now on, all foreign currency denominated issuances — both conventional and Islamic bonds — will be designated the “Emas” (gold) symbol, which, according to Bank Negara Malaysia,……….Full Article: Source

From Saudigazette.com.sa: Saudi Arabian banks are resilient to the global economic downturn due to the relative strength of the region, solid fundamentals and a conservative regulatory environment, said Nomura, which began coverage of the Saudi banking sector with a positive outlook.
Saudi banks are an attractive way of taking advantage of a rising interest rate environment, Nomura said. Owing to their high share of demand deposits and free funds, they should see their profits bolstered in the rising rate environment, the brokerage added………..Full Article: Source

From Tradearabia.com: Jordan offered three-year treasury bonds in an offering worth JD100 million ($141 million), bankers said on Sunday.

The Central Bank of Jordan (CBJ), acting on behalf of the government, will auction the bonds to banks and investment and pension funds later on Sunday, and settlement will be a day later………..Full Article: Source