Saudi Aramco and France’s Total are set to issue up to 3.75 billion Saudi riyals ($1 bln) in Islamic bonds, or sukuk, with final pricing expected by the end of the month, lead arrangers said on Tuesday.
The sukuk, open only to Saudi investors, will be issued by Saudi Aramco Total Refining and Petrochemical Co (SATORP) to help finance the Jubail refinery project. The company got regulatory approval for the issue in August……………………………………….Full Article: Source

The US$2 billion (RM6 billion) of Islamic bonds being sold in Indonesia and Saudi Arabia this month will push global sukuk issuance above the total for 2010 as borrowing costs slide and banks attract more deposits.
Indonesia will offer US$1 billion (RM3 billion) of syariah-compliant debt this quarter, Rahmat Waluyanto, director-general at the nation’s debt-management office, said………………………………………Full Article: Source

Dubai’s Islamic bonds are dropping more than the debt of energy-rich Abu Dhabi and Qatar as investors shun the region’s riskier assets after slowing global economic growth crimps oil demand.
The extra yield investors demand to hold Dubai’s 6.396% bond maturing 2014 and the five-year 2.375 Treasury due the same year widened more than 100 basis points, or 1 percentage point, from its May 19 low to 446 basis points on Monday……………………………………….Full Article: Source

In 2004, only three sukuks were issued in the UAE with an aggregate value of $1.165 billion. Two years later, the number of sukuk issues had increased to seven and the value grew eight-fold to $8.755 billion.
The height of the sukuk market was certainly 2007 with eleven issues with a value of $10.8 billion……………………………………….Full Article: Source

Deep concern about the health of Nakheel’s business has slowed the development of a market for the Dubai property giant’s Islamic bonds, traders say.
Nakheel issued a first tranche of the Islamic bonds, or sukuk, to unpaid contractors last month. They are a key part of the company’s restructuring……………………………………….Full Article: Source

Nakheel has revamped its corporate governance and business practices after reporting a Dh76.6 billion (US$20.85bn) loss in 2009, according to a bond prospectus sent to investors.
While not specifically mentioning past problems, the company’s filing acknowledges a wide range of issues addressed by management, offering an unusual glimpse at the inner workings of the developer behind some of Dubai’s biggest projects, including Palm Jumeirah and The World……………………………………….Full Article: Source

It is timely for financial experts in the West to take a look at Islamic finance as an alternative in financing, says First Holder, INCEIF Chair of Islamic Finance, Prof Abbas Mirakhor.
Abbas said Islamic finance stressed on risk sharing which included sharing the risk of loss. “Risk sharing means sharing risk among a few people. Islamic finance encourages risk sharing and provides a means for people to do that……………………………………….Full Article: Source

Islamic banks in the UAE are seeing the market ‘greener’ on the Qatar side in the wake of the recent directive from the banking regulator in Qatar banning conventional banks from running Shariah windows.
Sources told Banking & Business Review (BBR) that a few Islamic banks from the UAE are seriously weighing the option of applying for banking licence in Qatar where not many Islamic banks are operating currently, but at the same time the economy is said to be heading for big growth……………………………………….Full Article: Source

AK BARS Bank has successfully closed the debut in CIS one-year syndicated Murabaha financing for the total amount of $60 million. Citi and the Islamic Corporation for the Development of the Private Sector (ICD) acted as exclusive Joint Lead Arrangers and Bookrunners.
Eurasian Development Bank acted as Mandated Lead Arranger. Citi Islamic Investment Bank E.C. acted as Documentation Agent. Citibank International Plc acted as Investment Agent……………………………………….Full Article: Source

Turkey’s Shariah compliant Islamic banks could continue their recent strong growth if they can cultivate stronger ties with their international owners and create a sustainable brand image, in Standard & Poor’s Ratings Services’ view.
The country’s Islamic banking sector has grown strongly over the past five years, with total sector assets accounting for about 5% of total system assets as of year-end 2010 compared with 2.8% five years earlier……………………………………….Full Article: Source

In line with its commitment to attract and recruit UAE Nationals, Emirates Islamic Bank announced that they hired 76 UAE nationals since the beginning of this year plus 50 more nationals are expected to join before the end of September 2011. This would mean achieving 105% of the target for the year.
“Emiritization is a key priority for us and we hope that through our employee development programs we can continue to attract UAE national talents to join our ranks. With the right people onboard, along with the right training and support, our journey to continue to be a center of excellence in our products and services, is bound to be a smooth, efficient and a sustainable one” said Faisal Aqil, GM Retail Banking for Emirates Islamic Bank (Press Release)

Abu Dhabi Islamic Bank, a top-tier Islamic financial services group, today announced the launch of its 100% capital protected ‘ADIB Diversified Basket Note’ that provides an opportunity to small or large investors to profit from the anticipated strengthening of prices of eight leading commodities.
The note offers an investment plan of three years in the equally weighted commodities of gold, oil, lead, nickel, aluminum, cotton, corn and sugar. (Press Release)

Once again the possibility of DBS Bank and Oversea-Chinese Banking Corporation merging is being raised - this time by Nomura Equity Research. While certain quarters in Government and at Temasek Holdings may welcome the possible move, a merger of the two will certainly be met with dismay by the business community.
Nomura’s speculation comes a year after former Minister Mentor Lee Kuan Yew called for a consolidation of the local banking sector. Mr Lee felt that the three local banks had to combine to expand meaningfully within and outside of Singapore……………………………………….Full Article: Source

The government of Kyrgyzstan offered Saudi Fund and the Islamic Development Bank to participate in 40 strategic projects. Omurbek Babanov, the First Vice-Prime Minister, stated about it at the meeting with the heads of donor organizations.
He said that recently the strategy of the country development calculated upon three years and several dozens of projects were planned in the frameworks of it was approved in Kyrgyzstan……………………………………….Full Article: Source

Global Investment House (Global) announced that all its local investment funds comply with the requirements of the Capital Markets Authority (CMA).
This announcement was made following the Kuwaiti funds’ unit holders meetings the company held on Sunday and Monday, September 11 and 12, 2011, in line with Chapter 8 of the investment funds Law No. 7 of 2010 pertaining to the Capital Markets Authority and the securities regulation for investment funds. (Press Release)

Dow Jones Indexes will expand its Dow Jones Islamic Market Index series by launching the Dow Jones Islamic Market Global Select Dividend Index, a gauge that measures the stock performance of leading dividend-paying companies in developed countries that pass rules-based screens for Shari’ah compliance.
Measuring the performance of 100 of the highest dividend-yielding stocks from the Dow Jones Islamic Market World Index, the index will serve as a benchmark and an underlying instrument for investment products such as mutual funds and exchange-traded funds (ETFs). (Press Release)

The Asian Institute of Finance (AIF) is organising its inaugural forum in Bali, Indonesia, on the latest thinking in innovation for financial inclusion and Islamic finance in November.
The forum will also discuss how technological innovation has transformed the financial services industry. The forum, scheduled for Nov 24 and 25, will be jointly organised with the Indonesian Banking Development Institute (LPPI)……………………………………….Full Article: Source