Executives from CIMB Group have held talks with Australia’s big banks about issuing the country’s first Islamic bonds, according to CIMB’s Sydney-based head of capital markets. Michael Forde said the country’s major lenders could become the first Australian companies to tap Malaysia’s Islamic bond, or sukuk, market next year as they sought ways to access the growing pool of cashed-up Muslim investors.
National Australia Bank, Australia’s fourth-largest by market value, would be keen to sell up to $500 million of sukuk next year once it had approval from the banking regulator, sources said………………………………………..Full Article: Source

The property developer arm of Malaysia’s sovereign fund Khazanah Nasional Bhd will issue Islamic bonds worth up to 2 billion ringgit ($657.95 million) to fund working capital, repay debts and redeem its convertible preference shares.
The Islamic bonds are UEM Land Holdings Bhd’s first debt issue, and could go towards the development of its projects in Nusajaya, a new economic district to the south of the capital, Kuala Lumpur………………………………………..Full Article: Source

Malaysia should take leadership in issuing the world’s first CSR (corporate social responsibility) sukuk, an innovative Islamic bond where funds raised are channelled towards good causes, says a prominent Islamic banker.
Iqbal Khan, this year’s recipient of the prestigious Royal Award for Islamic Finance from Yang di-Pertuan Agong in September, said Malaysia is well-positioned to do this as it already has the regulations in place to produce that kind of sukuk………………………………………..Full Article: Source

Financing firm PT Adira Dinamika Multi Finance (ADMF) aims to generate a total of Rp 9 trillion (US$937.01 million) from the issuance of bonds and Islamic bonds. The firm plans to hold several phases of bond issuance, the first phase is scheduled for February.
Publicly listed Adira, part of Bank Danamon, expects to raise Rp 2 trillion from bonds and Rp 500 billion from Islamic bonds during the February bond issuance, Adira chief finance officer I Dewa Made Susila said. The bonds and Islamic bonds are expected to raise Rp 8 trillion and Rp 1 trillion, respectively, when all phases have been completed. Adira will use the funds generated by the bonds to support its financing operations, which cover the motorcycle and car segments………………………………………..Full Article: Source

The Egyptian Financial Supervisory Authority has said it is drafting a new law that would allow the use of sukuk, or Islamic bonds, in financing private-sector activities. The Finance Ministry is preparing a similar law for public-sector finance, the authority said.
The authority, which supervises the non-banking sector, said the new draft includes 30 articles regulating the issuance and trading of sukuk, and expanding the scope of activities that can be financed by Islamic bonds………………………………………..Full Article: Source

London-based QIB UK, a subsidiary of Qatar Islamic Bank, has closed its seventh Islamic capital-protected note with plans to roll out similar products every year, its head of asset management said.
QIB UK has now raised over US$190m since it launched its “Hemaya” structured note programme in 2010, having raised US$153m through the first six tranches. “We are looking to launch several tranches every year,” Anouar Adham told Reuters. “The idea is to offer different vehicles to [investors with] different risk profiles to match their requirements.”……………………………………….Full Article: Source

The first international mutual funds run by a Saudi Arabian manager will be launched from Dublin this month. NCB Capital, the investment banking arm of Saudi Arabia’s largest bank, will launch equity funds investing in Saudi Arabia and the wider Gulf Co-operation Council (GCC) region. They will be run in accordance with the principles of Islamic Sharia law.
“This is a continuation of our strategy to be a sizeable player in the sharia market,” Faysal Badran, chief investment officer at NCB Capital, said………………………………………..Full Article: Source

NCB Capital, Saudi Arabias largest wealth manager, has become the first local institution to establish a non-Saudi registered range of funds under the Undertakings for Collective Investment in Transferable Securities (UCITS) platform registered in Ireland. The firm is also launching the first two funds on this new platform - the NCB Capital Saudi Arabian Equity Fund and the NCB Capital GCC Equity Fund.
The objective of the two funds is to generate long-term capital growth by investing in listed companies in the Saudi Arabian and Gulf Co-operation Council (GCC) markets, in line with Shariah guidelines. NCB Capital will use a mix of strategies covering mid-cap, blue chip, income-generating stocks and a diversified range of selected sectors with solid growth credentials. All strategies will be in line with the UCITS regulations. (Press Release)

The Higher Committee of the Nationals’ Defaulted Debts Settlement Fund approved on Monday an amount of Dh 1.494billion to settle the defaulted debts owed by UAE citizens to various banks.
Deputy Minister of Presidential Affairs and Chairman of the Higher Committee presided over a meeting of the committee at the ministry headquarters and reviewed reports presented by six national banks that included National Bank of Abu Dhabi, Abu Dhabi Commercial Bank, First Gulf Bank, Abu Dhabi Islamic Bank, Union National Bank and Al Hilal Bank………………………………………..Full Article: Source

Gatehouse Bank plc (Gatehouse), a Shariah compliant bank based in the City of London, has completed the acquisition of a diverse industrial portfolio of 19 operationally critical properties across the United States of America. The portfolio is stabilised at 100% occupancy, and the properties are leased to 16 tenants with an average remaining lease term of 14 years.
The $178 million portfolio was acquired in partnership with the Brennan Investment Group (BIG). The properties, located in 16 cities across the Midwest, Northeast, Southeast and Southwest regions of the U.S., will be held for approximately five years, offering investors a stable projected net annual cash yield as well as an attractive IRR upon exit from the investment………………………………………..Full Article: Source

The global banking industry which is going through a confidence shakeup of late must go back to the heart of the GlassSteagall Act and separate their commercial and investment banking entities, said prominent Islamic banker Iqbal Khan.
This should be done to ensure the overall health and sustainability of the banking industry moving forward, he said. “An ethically enhanced Glass-Steagall Act as advocated by Paul Walker and as recommended by the Vickers Report will provide the systemic resilience which is needed to bring stability to our economies,” Iqbal said………………………………………..Full Article: Source

It had been reported that studies have shown that projects play a key role in reducing the problems and minimising the risk of failure. As it seems, the Islamic banking legislation expected within the amendments added to the Banking Act comes in this context and they have taken a bountiful share of studies and discussions as a new experience in the Sultanate.
We all followed the progress in these legislation while moving between the relevant authorities for review and discussion in transparency and clarity. This made everyone interact with the issue, banks and the public alike, in addition to allowing the establishment of two banks working in accordance with Islamic law which are Nizwa Bank and Al Izz Bank………………………………………..Full Article: Source

Oman’s Bank Dhofar has selected IFS, a subsidiary of Dubai-based Mawarid Finance, as consultancy and product implementation partner for Shariah-compliant products for both corporate and individual customers of the bank, said a press statement.
The agreement was signed at Bank Dhofar by Rehab Lootah, IFS Managing Director, and Tony Mahoney, Chief Executive Officer, Bank Dhofar. The project shall be launched in two phases, the first one shall include products for individuals and the second phase includes products for corporates and individuals………………………………………..Full Article: Source

The much-awaited listing of alizz islamic bank yesterday did not enthuse investors as the share closed trading with a marginal gain of 0.98 per cent at 103 basias on the Muscat Securities Market (MSM).
Market analysts cited lack of clarity on the much-awaited Islamic banking regulation and the long gap between the bank’s share offer and listing as major reasons for the listless activity. The RO40 million IPO of the bank closed one-month subscription on October 21, but the shares were listed only on December 02………………………………………..Full Article: Source

Ten years after the first global sovereign sukuk, international corporates are increasingly turning to shariah finance. Qudeer Latif, global head of Islamic finance at Clifford Chance, describes how the 2002 offering has impacted the development of Islamic finance.
While Malaysia’s sovereign sukuk had a positive impact on its domestic market, the impact on the global market wasn’t felt until three or four years later. Today, however, Islamic finance has become one of the most exciting areas of capital markets………………………………………..Full Article: Source

Malaysia can assume the leadership role in Islamic finance, where wakaf and zakat management offered growth potentials, said Fajr Capital Ltd chief executive officer, Iqbal Khan.
Iqbal, who received the Royal Award for Islamic Finance 2012 from Yang di-Pertuan Agong in September, said Malaysia could become a role model economy. “Malaysia can have a demonstrative effect on other countries. It is still the international hub for Islamic finance and it has the infrastructure………………………………………..Full Article: Source

Waqaf and zakat (tithe) management are among areas of growth for Malaysia as the global hub of Islamic finance, according to Fajr Capital Ltd chief executive officer Iqbal Khan.
“There are a lot of areas of growth in the Malaysian Islamic finance as the country is well positioned for this purpose and the regulations are already in place,” he said. Earlier in September, Bank Mualamat Malaysia Bhd had tied up with Perbadanan Wakaf Selangor to enable its customers and the public to contribute cash to waqaf………………………………………..Full Article: Source

FinMark Communications and Tamkeen announced Takaful as the winners of the Insurance Quiz night in the augural challenge of the Tamkeen Business Quiz Show after a lively showdown between the team and its peers BNH, Ta’azur and Arig.
The teams were cheered on by members of the public who joined the live Seef Mall quiz enjoying the night’s competition and taking part to win prizes. (Press Release)