Saudi Arabia has proved its potential in the capital markets issuance space in 2012, with a slew of high-profile sukuk issuances backed by the government.
The single largest sukuk issue ever originated from Saudi Arabia in January 2012, worth $4 billion, by the General Authority of Civil Aviation (GACA). The Kingdom’s sukuk market is now considered the third largest in the world after Malaysia and the UAE and is expected to continue to climb up the issuance ladder moving forward………………………………………..Full Article: Source

CIMB Islamic Bank Bhd’s chief executive officer (CEO) Badlisyah Abdul Ghani said government started offering incentives only from around 2004/2005 to jumpstart the industry amid strong demand for IF products but few suppliers in the market.
“The demand was there but the players were not keen to do the business. So, the reason the incentives were given was to get the industry moving. As a result of that, the supply of IF instruments and products became more, and the interest from consumers grew as they now had more choice of products,” he said……………………………………….Full Article: Source

Islamic finance players should build the base of Islamic finance system within the Organisation of Islamic Cooperation (OIC) member countries before venturing into other continents, says a banker.
CIMB Islamic Bank Bhd chief executive officer (CEO), Badlisyah Abd Ghani, said most Islamic finance players gave too much attention to markets like Europe and US, probably due to trade linkages………………………………………..Full Article: Source

Although Malaysia has one of the most established and regulated Islamic finance frameworks, local financial institutions need to build up confidence to promote it in the global Islamic finance market.
CIMB Islamic Bank Bhd chief executive Badlisyah Abdul Ghani said although Islamic finance had been thriving in the domestic market, most of the local banks had not been active in the global syndication market or even the sukuk market………………………………………..Full Article: Source

July was yet another exceptional month in the sukuk landscape as it witnessed the issuance of two debut sukuk, the first being the long-awaited Development Bank of Kazakhstan (DBK) issue that came in the form of a Malaysian ringgit tranche of MYR 240 million (USD 75 million) marking the first ever Islamic bond by a CIS country or former Soviet republic issuer.
The move is expected to leave a positive impact on the growth of the industry in the majority Muslim Kazakhstan and is likely to spur more issues in Central Asia’s largest economy. DBK is the largest development financial institution in Kazakhstan and is wholly owned by the government through its sovereign wealth fund, Samruk-Kazyna………………………………………..Full Article: Source

AmIslamic Funds Management (AIFM) has launched a new global sukuk fund called AmDynamic Sukuk1, which is denominated in ringgit and aims to provide capital appreciation by investing primarily in Islamic bonds, both locally and globally.
The fund’s approved size is 100 million units and its initial and additional investments are RM1,000 and RM500, respectively………………………………………..Full Article: Source

Franklin Templeton Investments is starting its first Islamic funds, following companies including BNP Paribas SA in tailoring products to win business in the Muslim world.
The world’s third-largest asset-management company will start three sukuk and stock investment vehicles in Luxembourg in the next few months, Sandeep Singh, its Malaysian country head, said………………………………………..Full Article: Source

Abu Dhabi Islamic Bank , the second-largest Islamic lender in the United Arab Emirates (UAE), began operating its first branch in Baghdad this month, aiming to play a role in the development of private banking in Iraq, the bank said.
The OPEC country is slowly getting back on its feet nine years after the U.S.-led invasion that toppled former Iraqi leader Saddam Hussein and it needs foreign investment in virtually every sector to rebuild its dilapidated infrastructure………………………………………..Full Article: Source

Oman’s Bank Nizwa, a newly-formed Islamic lender which sold shares to the public in June, has elected its first board, it said in a statement on Sunday, a month after an initial meeting to approve the selection ended without agreement.
Bank Nizwa, the sultanate’s first Islamic bank, elected an eight-member board and approved the bank’s articles of association at a meeting on Saturday, the filing to the Muscat bourse showed………………………………………..Full Article: Source

Al khaliji has reported a 5% gain in its first half net profit to QR261.9mn despite slippage in net interest earnings. Net interest income had fallen 11% to QR273.48mn, according to its financial statement filed with the Qatar Exchange.
Although net fee and commission income surged 20% to QR66.99mn and dividend income by 7% to QR6.48mn and net profit from ‘available-for-sale’ financial investments by 69% to QR127.17mn, the lender reported an 8% decline in its net operating income to QR458.26mn………………………………………..Full Article: Source

Banks and financial institutions have to tread carefully when expanding their turf in Malaysia or elsewhere as deficiencies in the regulatory environment can throw up surprises. “When it comes to mergers and acquisitions (M&As), a lot of things look good on paper,” RAM Ratings deputy CEO Promod Dass said.
Hong Leong Bank Bhd group chief risk officer Justin Soong acknowledged that regulatory loopholes existed when it came to M&As for Islamic banks. “When Hong Leong Islamic acquired EON Islamic last year, it turned out to be the first merger of Islamic banks in the world………………………………………..Full Article: Source

Islamic exchange-traded funds (ETFs) are struggling to attract fresh investors, in contrast to a move by Western investors into conventional ETFs - a difference due to the Gulf’s plain-vanilla investment culture and the way in which institutions choose financial products.
Plain vanilla is the most basic or standard version of a financial instrument, usually options, bonds, futures and swaps. Plain vanilla is the opposite of an exotic instrument, which alters the components of a traditional financial instrument, resulting in a more complex security………………………………………..Full Article: Source

From halal spas to prayer rooms at airport terminals, the global tourism industry is gearing up for a projected boom in Muslim travel over the next decade, experts say.
Their growing number and affluence means Muslims — especially from the oil-rich Middle East — are travelling like never before, and it is a trend that looks set to gather pace………………………………………..Full Article: Source

Takaful Industry is growing rapidly around the world with 230 Takaful Companies, 13 Re-Takaful companies with the total volume of $11 Billion.
Takaful was started in 2005 in Pakistan when Securities and Exchange Commission of Pakistan (SECP) introduced Takaful Rules 2005 according to which only full fledge takaful companies had the permission to operate and in this regard, 5 Takaful companies came into being due to efforts of investors of Malaysia, Qatar, Kuwait, UAE, Saudi Arabia and Pakistan……………………………………….Full Article: Source

A number of Islamic insurance companies have reportedly been depositing their funds with the country’s conventional banking system in violation of the spirit of Islamic values, central bank officials said. They said insurers based on Islamic principles have been depositing their funds with the conventional banking system mainly with a view to earning more profits.
The country’s Islamic banks generally offer 1.0 to 2.0 per cent less profit on the deposits than that of conventional banks, sources familiar with the issue said………………………………………..Full Article: Source

About 60 staff members from Takaful Brunei Darussalam Sdn Bhd attended a tahlil ceremony for His Majesty the Sultan and Yang Di-Pertuan of Brunei Darussalam’s late parents, Al-Marhum Sultan Hj Omar ‘Ali Saifuddien Sa’adul Khairi Waddien and Al-Marhumah Duli Raja Isteri Pengiran Anak Damit, at the Royal Mausoleum.
The ceremony was also accompanied by its two subsidiary companies, Takaful Brunei Am Sdn Bhd and Takaful Brunei Keluarga Sdn Bhd. It was led by the imam Hj Mohd Daud Hj Abd Kadir………………………………………..Full Article: Source

A golden rule followed by diplomats is this: don’t comment officially about ongoing issues. However, Deputy Foreign Minister of Israel Daniel Ayalon was different. Speaking with journalists Thursday in Seoul he talked candidly and directly about Syria, Iran and North Korea. He offered incisive observations regarding the modus operandi of the governments of these nations.
First, he put forward that the Arab Spring wasn’t a success. “Now, we’ll have a radical Islamic winter,” he said. In particular in Syria, the minister said, the Sunnis will oppress people the same way President Bashar al-Assad does, if they take power………………………………………..Full Article: Source

In the world of social media, Facebook has long been king, but one company says that the market is ripe for a coup from an unprecedented contender: a social media platform for Muslims, by Muslims. Indeed, Facebook’s user numbers have slumped of late. The website has been dropped by roughly 400,000 users in Turkey alone since March.
Yavuz Kurt is the PR director of Salamworld, a new social networking website founded on core Muslim values. Settling into a sofa in one of the company’s elegant reception rooms in Salamworld’s compound high above the Bosporus, he begins his pitch: “There are 250 million Muslim Facebook users who use that site because there is no halal alternative. We will provide this alternative.”……………………………………….Full Article: Source