The global sukuk market is expected to set a new record of close to US$125 billion this year, with Malaysia to remain the dominant market despite the anticipated issuance rise in the Gulf Cooperation Council (GCC) countries.

Prof Dr Malik Muhammad M. al Awan, Sharia Adviser, Hong Leong Islamic Bank and Hong Leong MSIG Takaful Bhd, said total global sukuk issuance in the first quarter this year amounted to US$43 billion, of which Malaysia’s sukuk issuance was US$30 billion………………………………………..Full Article: Source

Malaysia would remain as the world leader in sukuk issuance, which is on course for another record-breaking year, according to Islamic finance experts.

US-based Global Studies Institute director Dr M. Mahmud Awan said that in the first quarter of 2012, global Islamic bond issuance reached a record US$43bil (RM131.7bil)………………………………………..Full Article: Source

The Dubai government launched a $1.25 billion two-tranche Islamic bond on Wednesday, issue arrangers said, at the lower end of earlier indicated yield guidance, signalling healthy appetite for the emirate’s latest debt market foray.

Dubai launched a $600 million 5-year tranche at 4.9 percent and a $650 million 10-year tranche at 6.45 percent. Final guidance issued earlier on Wednesday had been tighter than initial indications from the previous day………………………………………..Full Article: Source

Saudi Arabia’s Al Rajhi Bank, the world’s largest Islamic lender, is turning to the ringgit-denominated debt market for its debut sukuk sale to fund the opening of new branches in Malaysia.

The Riyadh-based bank is considering the issuance as it plans a 20 per cent increase in annual profits in the Southeast Asian nation by adding to 23 existing outlets, Azrulnizam Abdul Aziz, chief executive officer of Al Rajhi’s Malaysian unit, said in an interview. The lender, which has never sold debt since it was founded 60 years ago, will also expand underwriting, said Mudassir Amray, head of wholesale banking in Kuala Lumpur………………………………………..Full Article: Source

Saudi Electricity Company (SEC) rated A1/AA-/AA- (all Stable) the largest utility in the Middle East has announced the successful closure of a $1.75bn dual-tranche Sukuk issue, comprising a $500m with a five year maturity and a $1.25bn with a 10 year maturity.
This transaction led by Deutsche Bank and HSBC is the inaugural international Sukuk issuance by SEC and the largest international debt capital markets issuance from Saudi Arabia………………………………………..Full Article: Source

Bahrain, troubled by ongoing social unrest, is testing whether it could draw investors into a potential sovereign bond sale, although the issuance is unlikely to be imminent, government and banking sources said on Wednesday.

A year of clashes between mostly Shi’ite-led protesters and Sunni government security forces has been weighing on the small non-OPEC oil exporter, eroding capital parked in its mutual funds, while fiscal handouts have raised the country’s vulnerability to a potential oil price drop………………………………………..Full Article: Source

Gulf one has advised and arranged a $23.50 million Islamic debt refinancing transaction for the Gulf University for Science and Technology (GUST), the largest private sector university in Kuwait.
The transaction was successfully closed in early 2012 with Kuwait International Bank (KIB) as the sole lender. Gulf One combined its regional network, leading structuring skills and extensive debt arrangement experience to deliver multiple benefits for GUST including a more favourable profit rate, longer tenor and better security structure………………………………………..Full Article: Source

The number of Islamic financial institutions employing dedicated risk managers has increased greatly since 2007, according to Deloitte Middle East’s first Islamic Finance Risk Intelligence report.
The report is based on a survey and case studies developed during the second half of 2011, on 20 Islamic Financial institutions from the Middle East and south east Asia with aggregate assets of more than $50bn………………………………………..Full Article: Source

Takaful Ikhlas Sdn Bhd plans to increase the number of agents to 5,000 this year from 4,000 previously. President/CEO Datuk Syed Moheeb Syed Kamarulzaman said the company would constantly expand its business network, and recruiting new agents was one of the ways.
“Actually, we don’t just look at the company’s growth through a higher number of agents but we also put emphasis on growth in terms on the productivity and quality of each agent,” he told Bernama during the ongoing Malaysia Unit Trust Week 2012 exhibition at the Kota Kinabalu Sports Complex in Likas………………………………………..Full Article: Source

As it seeks to attract insurance and reinsurance business from around the world, the Bermuda market has the potential to become a player in takaful, the emerging Islam-compliant insurance sector, according to one industry expert.
Belaid Jheengoor, director of PricewaterhouseCoopers in Bermuda, said many people make the mistake of assuming that Bermuda is too far from centers of Muslim population to be relevant to their financial services markets………………………………………..Full Article: Source

Turkey, the host country of the upcoming 9th Annual Summit of the Islamic Financial Services Board (IFSB), which is scheduled to be held at the Swissotel, The Bosphorus in Istanbul on 16 - 17 May 2012, is positioning itself as an important Islamic capital and money market.
The Central Bank of Turkey, which is hosting this year’s IFSB Summit, is organising as a pre-Summit event, a landmark Country Showcase in association with the Yildiz Technical University in Istanbul on the pertinent theme “The Role of Interest-free Financial Instruments in the Money and Capital Markets.”……………………………………….Full Article: Source