Islamic finance, a faith-based system of ethical finance, is growing while it continues to struggle for its identity; it is torn between the market success of emulating conventional structures and developing genuinely Islamic structures that reflect its spiritual ethos. This article reveals the struggle and highlights the endemic and extraneous pressures that threaten Islamic finance.
The Islamic finance industry is reported to be valued at over $1 trillion, with an estimated annual growth rate of 10 percent . The industry is continuing to grow despite its inherent problems, and some market analysts project it will be valued at anywhere from $3 to $5 trillion by 2016………………………………………..Full Article: Source

As Islamic finance/banking industry is growing at a sky rocketing growth rate of 12 percent - 15 percent per annum, Kuala Lumpur, Dubai, Bahrain and London are chomping at the bit to become the center of the industry, which currently boasts some $1 trillion in assets.
For the moment, Dubai holds the title of Islamic banking hub - but it could soon lose ground, both to traditional competitors like Bahrain, Kuala Lumpur or London or newcomers on the scene like Singapore………………………………………..Full Article: Source

As if blue chip investment bank, Goldman Sachs International, did not have any other problems in a global financial market that is already reeling in the aftermath of the banking crisis and in the wake of the ongoing euro zone sovereign debt crisis.
The bank last September announced that it was going to the market to raise financing totaling $2 billion through a Murabaha sukuk issuance………………………………………..Full Article: Source

The UK Treasury may have reiterated that a sovereign debut benchmark Sukuk is not currently prudent because it would not give “value-for-money” to UK taxpayers, but one UK entity of global repute that is enhancing its Islamic finance business is the London Stock Exchange (LSE).
In January 2012, the LSE in fact attracted the listing of another two sukuk bringing the total number of sukuk which have listed on the exchange to 42 and the total money raised to over $23.75 billion………………………………………..Full Article: Source

Bahraini lender Al Baraka Bank’s Turkish subsidiary will go ahead with a $200 million Islamic bond issue in the first quarter, after delaying a sale last month due to pricing concerns, the bank’s chief executive said.
“We will launch the sukuk in the first quarter of this year,” Adnan Ahmed Yousif said in an interview on the sidelines of an Islamic finance and banking conference in Oman………………………………………..Full Article: Source

Dubai’s Majid Al Futtaim plans to issue a five-year dollar-denominated Islamic bond, or sukuk, with early profit rate indications at no more than six per cent, a source with knowledge of the deal said on Sunday.
MAF is holding investor meetings in the UAE on Sunday, followed by London and Kuala Lumpur on Monday………………………………………..Full Article: Source

Islamic Banking in Morroco has featured central to debate.Islamic banks to operate in Morocco has been questioned especially since the Islamist Justice and Development Party won in the latest parliamentary elections.
Among the party’s promises were to establish the first Sharia-compliant bank in Morocco. Indeed, only a few days after taking control of the government, the party’s leader held talks with the president of the Qatar International Islamic Bank regarding opening Islamic financial institutions in Morocco………………………………………..Full Article: Source

The Shariah-compliant financial services sector in the country represented 30 per cent of the global Islamic banking industry in 2011, says a report.
Abu Dhabi 2011 Report, which has been published by Oxford Business Group in collaboration with ADIB, has revealed the growing demand for Islamic financial services among different customer segments within the UAE………………………………………..Full Article: Source

A bank that, in accordance with Sharia law does not charge interest, may be established in Swaziland to cater for the Islamic community. It can be said that some Christians also make use of the Islamic banks because they do not charge the interest usually charged by conventional banks.
Qatar National Bank (QNB), the leading commercial bank in the Middle East, has been identified as a suitable financial institution that could cater for the Islamic community in Swaziland………………………………………..Full Article: Source

Saudi Arabia’s central bank will play a bigger role in the supervision of the country’s financial sector as the kingdom weighs opening up its stock market to direct investments by foreigners.
The country’s Capital Market Authority (CMA) said on Sunday that it had signed a cooperation agreement with the central bank or Saudi Arabian Monetary Agency (SAMA) to coordinate supervision of the financial sector in order to improve its stability………………………………………..Full Article: Source

QNB expects to grow by 10% in 2012 on the back of Qatar’s economic expansion, bank chairman and HE the Minister of Finance and Economy, Yousef Hussein Kamal has said. The minister said, “Though we miss our Islamic division, QNB is pretty confident it will be able to recoup what it actually missed through its activities.”
“It is true our profit from the Islamic division got halved by about 50% in 2011. The profit we earned from our Islamic division in 2010 was about QR900mn. In 2012, we don’t have the Islamic branch,” Kamal said. ……………………………………….Full Article: Source

The Islamic Bank of Asia (IB Asia) announced two key senior appointments to drive the bank’s focus on investment banking and establish greater connectivity between the Middle East and Asia. Harish Parameswar is appointed Managing Director and Head of Investment Banking and will be based in IB Asia’s head office in Singapore. . Saleh Al Nashwan joined IB Asia as the Chief Representative for its Bahrain Representative Office.
Toby O’Connor, CEO of IB Asia, said: “The addition of Harish and Saleh to our senior management reflects IB Asia’s commitment to deliver a first class Shariah compliant merchant banking platform servicing Asia and the Middle East. Harish brings a wealth of investment banking, private equity and relationships within Asia while Saleh has extensive business experience and connectivity in the Middle East. Strong client coverage across the Middle East and Asia with high quality transaction origination and execution are essential for us to fully capture our business opportunity.” (Press Release)

The chief executive of Dubai lender Emirates NBD’s investment banking division is leaving the bank, three sources familiar with the matter said.
Suresh Kumar, who was a board member and named the head of Emirates NBD Capital in 2009, has worked with the bank for over 20 years and held senior management roles with Emirates Bank Group before its 2007 merger with National Bank of Dubai………………………………………..Full Article: Source

QInvest LLC, a closely-held investment bank owned by Qatar Islamic Bank, acquired a 30.5 percent stake in a landscaping group that includes Al Nakheel Agriculture & Trading Co. and Ag Middle East LLC, the company said.
This acquisition is the fourth private equity transaction completed by QInvest in the MENA region and is consistent with its strategy to partner with established businesses that are in need for growth capital to achieve their expansion objectives. (Press Release)

Bahrain-based Sakana Holistic Housing Solutions, the Islamic mortgage finance provider announced that it has reaffirmed its partnership for the second consecutive year with MAXMEDIA Co., publishers of Arabian Homes the leading real estate and interiors magazine in Bahrain and beyond.
As per the partnership arrangement, Arabian Homes monthly magazine will be distributed to Sakana’s valued customers on complimentary basis and Sakana will collaborate with Arabian Homes to produce series of articles relating to mortgage industry and holistic housing solutions that will enhance the publication………………………………………..Full Article: Source

Takaful Emarat, the UAE’s first dedicated life and health takaful provider, will focus on enhancing its customer service offering in 2012. Last year Takaful Emarat focused on establishing its core infrastructure and expanded its product range with the launch of savings and health insurance plans for individuals. The company has now shifted attention towards enhancing its services offered to the customers.
At the start of the year Takaful Emarat launched a new toll free telephone line (800 834) for customers managed by a dedicated customer service team. The new toll free line provides yet another point of contact for Takaful Emarat customers enabling them to manage their plans on the go, wherever they are. (Press Release)

Islamic home finance provider Tamweel on Sunday declared its financial results for 2011 and said net profit increased to Dh102 million, compared to Dh26 million in 2010.
For the fourth quarter of 2011, the company reported a net profit of Dh31 million, compared to Dh8 million in the same period in 2010. Tamweel said the results demonstrate continued profitability during a period of increased stability in the domestic property market………………………………………..Full Article: Source