Malaysian plantation firm Kuala Lumpur Kepong Bhd (KLK) said on Wednesday it plans to sell up to 1 billion Malaysian ringgit ($319.5 million) worth of Islamic bonds.
The company said it obtained on Tuesday the regulatory approval for the fund-raising exercise, which comes in the form of multi-currency Islamic medium-term notes………………………………………..Full Article: Source

Bahrain’s Mumtalakat Holdings has issued a 20-year RM3 billion medium-term sukuk programme, with the proceeds raised to be used partly to pay off its existing debt. The issuance is part of Mumtalakat’s strategy to proactively manage its long-term refinancing and debt maturity profile.
Prior to the issuance, Mumtalakat said it had secured a strong investment grade rating of “AA2″ from RAM Ratings Bhd. Mumtakalat chief executive officer Mahmood Al Kooheji said it sought the rating as part of its objective to pursue the highest level of transparency and provide platforms to keep institutional investors informed about it here and in Bahrain………………………………………..Full Article: Source

Aabar Investments PJSC, an Abu Dhabi government-controlled company with stakes in UniCredit SpA (UCG) and Daimler AG, will be the cornerstone investor in Al Izz Islamic Bank as Oman seeks to tap demand for Shariah-complaint products.
Al Izz is under formation and getting ready for an initial public offering, the bank said in an e-mailed statement yesterday. Oman approved the creation of its first two Islamic banks last year, Al Izz in October and Bank Nizwa (BKNZ) in May. Aabar, Huriah Company LLC and Tasameem Real Estate Company LLC are promoters of Al Izz, according to the statement………………………………………..Full Article: Source

Oman’s Bank Nizwa, the sultanate’s first Islamic bank, plans to attract some of the funds held abroad at other Gulf Islamic banks to grow during its first year of operations, its chief executive said.
“The amount of Omani money deposited in Islamic banks in the region, such as the UAE and Bahrain, is about 3.5 billion rials to 5bn rials ($9.1bn to $12.9bn),” Jamil Al Jaroudi said………………………………………..Full Article: Source

Even though the concept of Non-Interest banking started in the western world, it’s no longer new here. People are embracing it irrespective of their race or affiliations. Answering your question specifically, it is a specialized bank based on the principles of fairness, transparency and objectivity.
What do I we mean by that? It means there’s nothing like absentee landlord, if you want to benefit from something, you should take some share of responsibility or risk. That is really the basics, I hope you understand that………………………………………..Full Article: Source

A market-leading savings bond from the Islamic Bank of Britain has smashed into the savings tables but you need to act fast if you want to benefit. It’s pretty rare for a decent rate on a savings account to come along, but the Islamic Bank of Britain (IBB) has done just this with its new two-year fixed rate account paying 4%.
This impressive rate pushes it right into the top of the tables and it’s definitely worth considering if you’re looking for a new home for your savings………………………………………..Full Article: Source

LBS Bina Group Bhd said it has made an early settlement by redeeming and cancelling its entire tranche 4 of the sukuk programme valued at RM20 million. The tranche 4 is part of the RM135 million sukuk programme which is guaranteed by Danajamin Nasional Bhd.
The early redemption was 348 days ahead of its maturity date of July 15 2013 and had contributed to a cost savings of about RM860,000………………………………………..Full Article: Source

Kuala Lumpur Kepong Berhad’s (KLK) proposed ten-year multi-currency Islamic medium-term notes programme of up to RM1bil or the equivalent in foreign currencies have been given a preliminary long- and short-term AA1 and P1 ratings with stable outlook, according to RAM Ratings.
Similarly, the ratings of the group’s existing RM300mil sukuk ijarah commercial paper or medium-term notes programme (2011/2016) have been reaffirmed at AA1/Stable/P1………………………………………..Full Article: Source

RAM Ratings has reaffirmed the AAA(s) rating of Muhibbah Engineering (M) Bhd’s (Muhibbah or the Group) RM130 million Islamic Bonds; the enhanced long-term rating has a stable outlook.
The AAA(s) rating is supported by the irrevocable and unconditional guarantee from AAA-rated Malayan Banking Berhad (Maybank), to honour Muhibbah’s irrevocable and unconditional undertaking to purchase and cancel all the Islamic Bonds at the exercise price upon the declaration of an event of default (Purchase Undertaking). (Press Release)

Russia hopes to collaborate with Brunei economically in halal food production, Islamic finance and banking and in infrastructure development, outside of the oil and gas industry.
The ambassador of the Russian Federation to Brunei, Victor A Seleznev, said that this year, there are many Bruneians visiting Russia, and because Brunei will be the chair of ASEAN, it would mean that a lot of the Russian delegations will also be making a trip to Brunei………………………………………..Full Article: Source

One of the most interesting things to come out of the financial crisis has been the growth of interest in Islamic banking. These new entrants to the sector provide Sharia-compliant products that forbid the payment or receipt of interest and refuse to invest in “unethical” industries such as the gambling, pornography or the tobacco trades.
While many of its critics claimed that the model would struggle to compete with mainstream banks they continue to frustrate their detractors. Last month, for example, the Islamic Bank of Britain (IBB) launched a competitive 4% expected profit rate for its two-year fixed account to coincide with the start of Ramadan………………………………………..Full Article: Source

Al Khaleej Takaful has reported a 4% gain in its first half net profit to QR59.02mn. Under shareholders’ account, total takaful expenses plummeted 99% to QR0.05mn, according to its financial statement filed with the Qatar Exchange.
Although net realised gains on sale of available-for-sale investments jumped about 14-fold to QR35.32mn and mudarib income by 26% to QR0.33mn; the insurer’s Wakala income fell 24% to QR19.68mn, income from deposits by 92% to QR0.03mn, dividend income by 20% to QR18.67mn and rental earnings by 8% to QR3.15mn………………………………………..Full Article: Source

The global financial crisis and the current political events across the Arab region are a testimony of the urgent need for an alternative but complementary source of finance to the traditional capital markets and commercial banks.
In particular, as regional corporates begin to re-invest and develop their businesses to tap into the broader regional long-term economic growth story, the lack of funding is emerging as a key challenging issue, mainly for many quality organisations………………………………………..Full Article: Source