While conventional financial transactions in Western Europe and North America are in turmoil, there is a refreshing burst of optimism in the world of Islamic finance. Largely shielded from the financial crisis, although not entirely immune, there is a significant opportunity for the Islamic financial system to provide an attractive alternative to conventional financing.
The continued potential for growth of Islamic finance means that investors are increasingly looking to tap into the various opportunities it offers. Nevertheless, Islamic finance has its challenges as well……………………………………….Full Article: Source

Syarikat Prasarana Negara Bhd has successfully priced its RM2.0 billion 10-year and 15-year Islamic Medium Term Notes or sukuk issued yesterday, under its RM4 billion nominal value Sukuk programme guaranteed by the Malaysian government.
Arranged in 2009, the Sukuk programme is mainly to part finance the Kelana Jaya and Ampang LRT Line Extension Project (LEP) and other infrastructure improvement initiatives by Prasarana……………………………………….Full Article: Source

One potential alternative that might meet these expectations is limited purpose banking. It is proposed by Laurence Kotlikoff, a prominent economist and a professor at Boston University, who explains it at length in his book “Jimmy Stewart Is Dead” (2011).
As implied by its name, limited purpose banking limits the role of banks. In an audio podcast (2011) that we recorded with him, Kotlikoff explains that “limited purpose banking moves us from trust-me banking to show-me banking”. Simply put, banks will not extend credit themselves but operate like asset management companies offering mutual funds……………………………………….Full Article: Source

Emaar Properties PJSC’s sukuk rose to their highest level in two weeks after the company said it didn’t have to reduce the value of assets related to a mortgage subsidiary in the second quarter.
The yield on the 8.5 per cent Islamic notes due August 2016 dropped eight basis points, or 0.08 percentage point, to 7.21 per cent on Tuesday, the lowest level since July 11, according to data compiled by Bloomberg……………………………………….Full Article: Source

The Sharia-compliant market in the Middle East is enjoying a resurgence of issuance partly due to sukuk immunity from the ongoing volatility in Western Europe and the United States.
This was demonstrated last week, with two credits successfully executing their deals and one hitting the road for a possible sukuk offering……………………………………….Full Article: Source

Kuwait Finance House said that its Takaful insurance documents, especially the travelling variety, have witnessed high demand in the few previous travelling season days.
Deputy Banking Cards Manager at Kuwait Finance House (KFH), Salem Al-Doweisan said that many passengers seek to benefit from the travelling insurance programmes that cover overseas risks, not to mention those programmes that are Shari’ah-compliant and offer clients more benefits for competitive rates……………………………………….Full Article: Source

Bahrain Islamic Bank (BisB) managed a powerful turnaround in the first half of the year posting a net profit of BD3.2 million ($8.5m) against a loss of BD5.7m in the first half of 2011.
The bank registered a net profit of BD1.7m for the three months from April to June compared to a net loss of BD6.9m for the same period of last year……………………………………….Full Article: Source

Al-Rajhi Bank is planning an expansion of its operations in Jordan, given the country’s promising opportunities and despite the global financial crisis, the bank’s Regional Manager Tareq Aql said Wednesday.
“The bank is embarking on an expansion plan with particular focus on high quality services which will be extended to clients with the most possible speed,” Aql told representatives of the media in Amman……………………………………….Full Article: Source

Islamic banks have started preparing recommendations in the light of Shariah principles to take benefit of discounting facility of the State Bank of Pakistan (SBP) and proposals will be sent to the central bank and finance ministry.
Commercial banks borrow from the discount window of SBP for a three-day period to address their cash constraints. This facility is called discounting and the borrowing rate is called discount rate……………………………………….Full Article: Source

Anambra State government has denied any relationship with an Islamic bank as claimed by governor of the Central Bank of Nigeria, CBN, Mr Sanusi Lamido Sanusi, while defending the proposed Islamic bank financial policy before members of the House of Representatives last Thursday.
Mrs. Uche Ekwunife, representing Awka/ Dunukofia in Anambra State, yesterday, presented a letter by Anambra State government denying ever transacting any business with an Islamic bank……………………………………….Full Article: Source

As the Supreme Council for Sharia in Nigeria (SCSN) has said that Nigerian Muslims would rather go to war than give up the quest for Islamic Banking, the president of the Pentecostal Fellowship of Nigeria (PFN), Pastor Ayo Oritsejafor, has stated that violence is not the preserve of one person.
Oritsejafor, who addressed the press yesterday at the general aviation terminal (GAT), Lagos on arrival from a trip overseas, said that if a group of people advocate violence, they should not expect others to fold their arms……………………………………….Full Article: Source

The Lagos Chambers of Commerce and Industry today threw its weight behind the introduction of Islamic banking in the country. President of the Chamber, Otumba Femi Deru however said the policy should be stripped of any religious reference.
Speaking at the Chamber’s second quarterly press conference in Lagos, Deru posited that the focus of Islamic banking should be on the financial concepts, principles and values it will give to those who chose to patronise the product……………………………………….Full Article: Source

Commercial Bank of Qatar (CBQ) reported a 24.9 percent jump in second-quarter profit on Wednesday, aided by increased lending and customer deposits.
The Gulf state’s third largest lender by market value had net profit of QR509.6m ($139.9m), according to Reuters calculations. That was up from QR408m in the same period last year……………………………………….Full Article: Source

Jordan has received a new grant of $1 billion from Saudi Arabia to help the kingdom cope with its growing financial burdens, government officials said in Amman.
The new donation takes Saudi financial aid to Jordan to $1.4 billion over the past two months……………………………………….Full Article: Source

The International Centre for Education in Islamic Finance (INCEIF), the Global University of Islamic Finance, has appointed Daud Vicary Abdullah as its President and Chief Executive Officer, effective Aug 2.
Daud, who holds an Economic and Social History Honours degree from the University of Bristol in England, takes over from Datuk Agil Natt who retires on July 31……………………………………….Full Article: Source