Brunei has long identified the Islamic finance as a sector that can be developed to its advantage, both to serve the banking needs of its domestic economy and as an avenue for economic development at the international level.
To achieve these objectives, however, it will need to step up investments in human resources. Having first launched the Islamic finance option more than 20 years ago, sharia-compliant banking now accounts for around 40 per cent of the local market, a figure some experts believe will rise to 60 per cent by 2017………………………………………..Full Article: Source

A Federal High Court in Abuja yesterday declared the non-interest financial institution operating under the principles of Islamic jurisprudence as illegal and unconstitutional.
Justice Gabriel Kolawole held that had it not been that the plaintiff, Godwin Sunday Ogboji lacked the locus standi to institute the action, he would have nullified the licence issued to Jaiz International Bank PLC to carry out Islamic banking in the country………………………………………..Full Article: Source

The Attorney General of the Federation and justice Minister, Mr. Mohammed Adoke (SAN) was yesterday told by a Federal High Court, Abuja, to enforce the guidelines on banking operation in the country.
Justice Gabriel Kolawole said any operation licence granted by the Central Bank of Nigeria (CBN) to any Islamic commercial jurisprudence bank under non-interest financial services is “unlawful, illegal, ultra vires, null and void”………………………………………..Full Article: Source

Saudi Electricity Co (SEC) said on Sunday it would buy back its 5 billion riyal ($1.3 billion) debut sukuk issued in 2007, in accordance with the terms of that issue.
The sukuk is due to expire in 2027 but under the terms, SEC must offer to repurchase it every five years, at a price which decreases over time………………………………………..Full Article: Source

Afghanistan plans to sell Islamic bills for the first time early next year, as it prepares for a reduction in international aid after the withdrawal of foreign troops in 2014.
Draft laws will be submitted to the government “soon” and an offering of longer-maturity sukuk will take place at the end of 2013, Noorullah Delawari, the head of Da Afghanistan Bank, said in an interview………………………………………..Full Article: Source

PAS has demanded an explanation from the government over the move to allow pensions fund, Retirement Fund (Incorporated), or KWAP, to subscribe some RM1.5 billion worth of Malaysian Airlines’ perpetual bonds, or what are known as junior sukuk.
Its Research Centre director Dr Dzulkefly Ahmad questioned how such a risky investment by KWAP could be allowed to take place using pension funds belonging to the public………………………………………..Full Article: Source

Why did the Board of Directors of the civil service pension fund (KWAP) pick-up the entire RM1 billion worth of MAS’ first issue of its perpetual sukuk (bonds) when the airline company is deeply in debt? Malaysian Airlines System (MAS) recently announcement a historic loss of RM2.52 billion for the financial year end 2011.
The governmet-linked company is now in crisis. Slamming KWAP’s decision as yet another ‘bailout’ by the government, PKR Sabah secretary Dr Roland Chia Ming Shen said the move “will end up causing massive loss to the hard earned pensioners money.”……………………………………….Full Article: Source

Islamic Development Bank has issued initial price guidance for a five-year benchmark-sized Islamic bond, or sukuk, issue, in what would be its first debt issuance for more than a year, a document from lead managers said on Friday.
The supranational, which is rated AAA by the three main rating agencies, is looking to price the deal in the range of 35-45 basis points over midswaps, the document said………………………………………..Full Article: Source

Dubai’s Jebel Ali Free Zone (JAFZA) won a USD1.2 billion sharia-compliant loan from eight banks, to help refinance a debt commitment, Reuters reported.
The company said in a prospectus that the Islamic financing loan, along combined with a USD650 million sukuk completed lately, will be used to repay a USD2bn-equivalent Islamic bond due later this year. The facility is due to mature in 2020, the prospectus said………………………………………..Full Article: Source

Afghanistan plans to sell Islamic bills for the first time early next year, as it prepares for a reduction in international aid after the withdrawal of foreign troops in 2014.
Draft laws will be submitted to the government “soon” and an offering of longer-maturity sukuk will take place at the end of 2013, Noorullah Delawari, the head of Da Afghanistan Bank, said in an interview. ……………………………………….Full Article: Source

The value of Shariah-compliant assets globally has grown by more than 20 percent to reach an approximately $1.2 trillion industry. The sukuk market has surpassed $100 billion and is doing well in 2012 up till now, thus providing the much-needed succor to the global financial system. In general, Islamic banks have grown faster than their conventional counterparts.
This has been possible due to the strong ethical foundations of the Islamic banking industry………………………………………..Full Article: Source

In the hallowed headquarters of the self-styled “the world’s local bank” in London’s Canary Wharf last week, some 170 specially invited guests were privileged to witness the launch of HSBC’s first Islamic mortgage product in the UK market.
The guests — a selective mixture of Muslim community leaders and Muslims with existing HSBC conventional mortgages — were treated to the usual marketing hospitality of a banking major, away from the prying eyes of the media. On hand were HSBC’s Shariah Advisory Board………………………………………..Full Article: Source

Poor Subramanian Swamy. The prospects of Islamic finance and banking options in India make him nervous as a rain-drenched cat.
He thinks Arab funds will flow like water, endangering India’s financial sovereignty. With Swamy and friends, such paranoid stuff and canards are bread and butter. Without these, they cease to exist. Muslim-bashing is the summon bonum of their existence; Islam a bogey they raise to stay alive. Without this all-important vocation, they are dead and gone………………………………………..Full Article: Source

Al Jazeera Finance, which is 30% owned by Qatar Islamic Bank (QIB), has appointed Amer Mohamed al-Jabri as its chief executive officer (CEO). Prior to this, al-Jabri was assistant general manager of retail and small and medium enterprise banking services with QIB.
His role involved formulating general strategy and development plan to achieve the general objectives of the company in order to provide the customers with quality services, realise good profits and ensure the implementation of the company’s expansion plans………………………………………..Full Article: Source

Syarikat Takaful Malaysia Bhd (Takaful Malaysia) will set up a wholly-owned subsidiary as a special purpose vehicle (SPV) in Labuan International Offshore Financial Centre (IOFC) to invest and hold its overseas property investment.
Earlier, Takaful Malaysia said it would venture into the overseas property investment market for the benefit of its stakeholders. It is now close to concluding a deal, in the UK property market. To realise this, it is considering the Labuan IOFC as a platform to hold all its overseas property investments………………………………………..Full Article: Source

The head of Iran’s Bimeh Markazi, (Central Insurance of the Islamic Republic of Iran) said the country’s insurers are ready to offer coverage to ships passing through Iranian waters.
When international insurance companies began refusing to insure ships carrying Iran’s oil, domestic companies formed a consortium to fill that void, said Seyed Mohammad Karimi. Bimeh Markazi’s President said the consortium is even ready to provide coverage for those ships and oil tankers that pass through Iran’s waters without insurance………………………………………..Full Article: Source