There is a need to help Middle Eastern investors understand Asian sukuk, said HSBC Amanah Malaysia Bhd chief executive officer Rafe Haneef. If investors from the Middle East become familiar with Asian sukuk, this he said, can be a driving force for more of its issuance in Asia.
Rafe said Islamic finance is an ideal bridge for capital flows between Asia and the Middle East, adding that more can be done to strengthen the capital connectivity between Asia and the Middle East. ……………………………………….Full Article: Source

Saudi Arabia’s General Authority of Civil Aviation raised 15 billion riyals ($4 billion) from the sale of Islamic bonds, said a banker familiar with the transaction.
The 10-year notes will pay a profit rate of 2.5 percent, said the banker, who declined to be identified because the details are private. The authority plans to use funds from the sale to build a 27 billion-riyal ($7.2 billion) airport in Jeddah. HSBC Holdings Plc’s unit in Saudi Arabia managed the transaction………………………………………..Full Article: Source

Saudi Arabia’s General Authority for Civil Aviation (GACA) is set to print a 15 billion riyals ($4 billion) ten-year sukuk, its debut Islamic bond offering, a source familiar with the matter told Reuters on Monday.
The transaction will carry a profit rate of 2.5 per cent, the source added, who spoke on condition of anonymity. Investor meetings ahead of the sukuk sale began on January 10, a statement carried by the Saudi Press Agency said at the time………………………………………..Full Article: Source

Emirates Islamic Bank (EIB) has completed issuance of $500 million sukuk certificates maturing in 2017 as part of its $1 billion Trust Certificate Issuance Programme.
The programme is guaranteed by Emirates NBD rated A3 by Moody’s and A+ by Fitch. The Certificates pay a profit rate to investors of $ 5-year Mid-swaps + 350bps (4.718 per cent)………………………………………..Full Article: Source

HSBC Amanah expects global sukuk issuance to grow to US$44 billion in 2012 from US$26.5 billion last year. Malaysia was forecast to account for 60 per cent of the total while the Middle East and North Africa (MENA) region 32 per cent, the bank said.
It also said governments and government-related entities were likely to account for 50 per cent while the finance and corporate sectors 25 per cent each………………………………………..Full Article: Source

The growth of Malaysia’s Islamic capital market will be driven by greater internationalisation and a distinctive value proposition of the products, says the Securities Commission Malaysia.
Chairman Tan Sri Zarinah Anwar said the expansion in the number of markets and industry participants embracing Islamic finance stimulate greater cross-border activities………………………………………..Full Article: Source

Canada, with its 1.3 million Muslims, has lagged behind countries like the U.K. and the U.S. in embracing sharia-compliant financial products. None of the country’s big banks currently offer sharia-compliant services, though some smaller players do.
Toronto-based UM Financial Inc., which issued home mortgages conforming to Islamic law, filed for bankruptcy last year, leaving 170 Muslim borrowers in limbo, and opening a legal can of worms. Is the firm’s failure evidence that Canada should steer clear of Islamic finance; or proof that the country needs more of it–i.e. that the banks and policymakers need to bring the practice into the mainstream, with tighter rules and better oversight?……………………………………….Full Article: Source

Taking advantage of the situation arising out of the economic crisis in Eurozone and countries like United States, India should adopt the Islamic Finance System to pump-in investments from the Middle East.
This interest-free and more inclusive system will in turn speed-up the financial inclusion of the Indian Muslims, an expert in Islamic Finance said in Malegaon Sunday………………………………………..Full Article: Source

While uncertainty continues to roil global markets, driving many investors into full retreat, one part of the financial sector is expanding exponentially: Islamic-law-compliant financial assets have grown from about US$5 billion in the late 1980s to roughly US$1.2 trillion in 2011.
This asset class, which is characterized by shared risk between institutions and clients, avoided many of the most severe consequences of the global financial crisis that began in 2008. This resilience, along with several other key features, underpins the high performance and growing popularity of Islamic finance………………………………………..Full Article: Source

CIMB-Principal Islamic Asset Management Sdn Bhd (CIMB-Principal Islamic), a joint-venture local Islamic global asset management company between CIMB Group Holdings Bhd (CIMB) and Principal Global Investors, has obtained the approval from the Central Bank of Ireland for the establishment of CIMB-Principal Islamic Asset Management (Ireland) Public Ltd.
The CIMB-Principal Islamic Asset Management (Ireland) Public Ltd would be the first Malaysian-based international Islamic funds platform domiciled in Dublin, acting as an investment manager of a Dublin-based ‘Undertakings for Collective Investment in Transferable Securities’ (UCITS) for Islamic funds. ……………………………………….Full Article: Source

OSK-UOB Islamic Fund Management, a joint-venture company formed between the OSK Group, one of Malaysia’s leading investment bank and Singapore’s UOB Group, one of Asia’s leading financial institutions, announced that it has signed a strategic agreement with IdealRatings, Inc. a global Shariah compliant fund management service provider to utilize IdealRatings’ unique research based screening for their global growth strategy of equity funds.
According to Mohamed Noor, CEO, OSK-UOB Islamic Fund Management, OSK-UOB Islamic Fund Management was looking to find a partner who could provide detailed analysis of the revenue breakdown for the global stock market specifically for food companies involved in any non-halal elements. (Press Release)

It is expected that new products will be introduced for and more widely used by private individuals, such as debit cards, point-of-sale systems, SMS and internet banking, and consumer loans. The adoption of ­Islamic finance principles is also ­anticipated.
The stock exchange is expected to resume operation and Libya might even see the opening of foreign private banks. Within three years, explains Tumi, the currency design and name could see a radical overhaul. As in Egypt, oil and gas will also contribute to lawyers’ workloads………………………………………..Full Article: Source

The real gross domestic product (GDP) of the oil-rich six Gulf states registered a year-on-year growth of 7.4 per cent in 2011, up from 4.8 per cent in 2010, according to National Bank of Abu Dhabi report.
The GCC’s nominal GDP reached a record $1.34 trillion (Dh4.92 trillion) in 2011, a sharp increase from $1.08 trillion in 2010. The GCC economy is estimated to be the 14th largest in the world in 2011 after Australia………………………………………..Full Article: Source