The recently launched Islamic Interbank Benchmark Rate (IIBR) aimed at raising the quality of the Islamic capital profile has some more banks knocking at its door.

Seeking to tap into the $1 trillion Islamic finance industry, with an expected growth of 15 percent per annum, Thomson Reuters on Tuesday launched IIBR, a benchmark to provide scientific, market-agreed indications for the average expected return on Shariah-compliant short-term interbank funding………………………………………Full Article: Source

While Kuwait has to date played a relatively small role in the fast-growing global market for sukuks, or Islamic bonds, this could change, should lawmakers develop and implement a more robust legal framework to regulate the issuance of sharia-compliant debt.

In the meantime, however, two entities with strong ties to the country - Kuwait-based Gulf Investment Corporation (GIC) and Kuveyt Turk participation bank, which is 62% owned by Kuwait Finance House (KFH) - have in recent months raised funds by selling sukuks………………………………………Full Article: Source

Coming to power after decades of repressions under dictatorial governments kept economics and religion apart, Islamist parties are assuring foreigners with pledges for free trade, more manufacturing investment and crackdown on corruption.

“We want to attract as much foreign investment as possible…and this needs a big role for the private sector,” Hassan Malek, an Egyptian businessman and a top financier of the Muslim Brotherhood, told Reuters………………………………………Full Article: Source

Bermuda’s latest target market of the Islamic finance industry was the focus for a delegation from the Island who travelled to Bahrain this week for the 18th Annual World Islamic Banking Conference.

The conference, which was held under the patronage of HRH Prince Khalifa bin Salman Al Khalifa, the Prime Minister of Bahrain, featured Cheryl Packwood, CEO of Business Bermuda and Belaid Jheengoor, director of asset management for PricewaterhouseCoopers in Bermuda and chairman of the Island’s Islamic finance taskforce, on the panel discussion entitled ‘Upgrading Regulatory Frameworks and Risk Management Capabilities: New Approaches to Ensure Stability and the Successful International Development of Islamic Finance’………………………………………Full Article: Source

Islamic financing is always provided for doing business or trading, it is relatively difficult for the recipients of Islamic funds to “run away” with the money. In international transactions, if equity-based tools of Islamic finance are used to bring foreign capital into Pakistan, technically the new injection of foreign capital into the country will not lead to an increase in national debt.
Even in the case of the government using sukuk for raising debt-based shari’a compliant capital, the financing will always be tightly linked to an already exiting asset or will be used for creating new assets………………………………………Full Article: Source

In spite of the economic turmoil in Europe, the economic problems in the US and the unrest in Bahrain, this year’s World Islamic Banking Conference (WIBC) proved to be the biggest to date.

“In the current economic climate, the attendance at this year’s event was just magnificent,” said event organiser David McLean. “We broke through the 1,300 delegate numbers and had more sponsors than ever before which is remarkable and is a testament to Bahrain’s role as the capital of the Islamic banking industry,” he said………………………………………Full Article: Source

Central Bank of the UAE’s lending rules may violate Shari’ah; Islamic lenders ask for rethink.Citing unnamed sources, Dubai-based Emarat Alyoum Arabic language daily reported that the higher coordination committee for Islamic banks in the UAE has submitted proposals for common standards, saying that some of the CBUAE’s new lending rules introduced this year violate Shari’ah banking principles.
Emarat Alyoum said a memorandum has been sent to the CBUAE and the Islamic lenders are now waiting for the central bank’s response………………………………………Full Article: Source

An Islamic bank, Amana Bank Limited, that would be observing Sharia regulations, was on Thursday launched in Dar es Salaam. The Islamic banking system does not charge or accrue interests.

The Board of Directors Chairman, Mr Haroon Pirmohamed, said the Bank is a result of a need for an alternative to conventional banking system that provides ethical and fair modes of banking for all………………………………………Full Article: Source

In spite of the economic turmoil in Europe, the economic problems in the US and the unrest in Bahrain, this year’s World Islamic Banking Conference (WIBC)proved to be the biggest to date. “In the current economic climate, the attendance at this year’s event was just magnificent,” said event organiser David McLean.

“We broke through the 1,300 delegate numbers and had more sponsors than ever before which is remarkable and is a testament to Bahrain’s role as the capital of the Islamic banking industry………………………………………Full Article: Source

Qatari group Retaj is planning an investment of $500 million in Turkey in a bid to develop hotels and residences run along an Islamic model in two big cities.

“Turkey has become the 16th largest economy in the world and sixth largest economy in Europe, and this made us want to invest in Turkey,” Retaj Board of Directors member Bin Johar al-Mohammed told Anatolia news agency in a recent interview………………………………………Full Article: Source