Global Islamic banking assets held by commercial banks are set to cross $1.8 trillion in 2013, up from the $1.3 trillion of assets held in 2011 according to Ernst & Young’s World Islamic Banking Competitiveness Report 2013. This forecast is significantly higher than some of the earlier industry estimates.
Globally, the Islamic banking industry continues to record robust growth, with the top 20 Islamic banks registering a growth of 16 percent in the last three years and Saudi Arabia emerging as the largest market for Islamic assets. Top 20 Islamic banks hold over 50 percent of global Islamic banking assets……………………………………….Full Article: Source

The global sukuk market is expected to grow 141.32 per cent to reach $292 billion (Dh1.07 trillion) in issuances by 2016, up from $121 billion (Dh444 billion) in 2012, according to a latest report by Thomson Reuters.
The value of global aggregate sukuk for the period January 1996 to September 2012 is $396.4 billion, attributed to 2,790 issues. “More than 60 per cent of this total value comes from sukuk issued between 2010 and 2012, when 1,486 sukuk were issued to the tune of $248.5 billion,” the report says………………………………………..Full Article: Source

Qatar has issued Islamic bonds (sukuks) worth a staggering $25bn this year, with more than 50 percent of the subscribers representing conventional institutions — a development that indicates increasing investor confidence in Shariah-compliant investment avenues worldwide, a conference on Islamic banking and finance was told here yesterday.
Sheikh Mohamed bin Hamad bin Jassim Al Thani, Chairman of Barwa Bank, said while the world is still fighting economic downturn Islamic banking and financing activities have been witnessing growth………………………………………..Full Article: Source

The Middle East’s biggest debt underwriter said bond sales by government-related companies in the Gulf will pick up at the start of the new year 2013 to support more than $1 trillion in planned spending.
There’s reason to be ‘optimistic’ for sales by government-related enterprises at the start of next year, said Georges Elhedery, head of global markets for the Middle East and North Africa at HSBC. Issuance this year by so-called GREs fell to about $9.9 billion from about $13 billion in 2011 and compared to $8 billion a year earlier, according to data………………………………………..Full Article: Source

Dana Gas PJSC, whose bondholders include BlackRock Inc (BLK) and Ashmore Group Plc (ASHM), completed the restructuring of $920 million of Islamic bonds after agreeing to pay twice the average yield on emerging markets corporate sukuk.
Dana Gas, which missed sukuk payments in October, will pay bondholders $70 million in cash and split the remaining Shariah- compliant debt into $425 million of convertible bonds and an ordinary sukuk of equal value, the United Arab Emirates fuel producer said in a statement. The five-year convertible bonds will pay a profit rate of 7 percent and the ordinary sukuk 9 percent. That compares with 7.5 percent on the existing sukuk……………………………………….Full Article: Source

First Resources Limited, a leading palm oil company listed on the Main Board of the Singapore Exchange, today successfully issued its second ringgit-denominated sukuk of RM400 million under its Sukuk Musharakah Programme of up to RM2 billion, established on July 9 this year.
OSK Investment Bank Bhd and RHB Investment Bank Bhd are the Joint Principal Advisers and Joint Lead Arrangers for the Sukuk Musharakah Programme and Joint Lead Managers for the distribution of the IMTNs in Malaysia………………………………………..Full Article: Source

The Samalaju Industrial Port Sdn Bhd (SIPSB) plans to raise up to RM1.35bil from a share placement and issuance of Islamic securities or sukuk to fund the development of the Samalaju port project in Bintulu. The company is a wholly-owned subsidiary of Bintulu Port Holdings Bhd (BPHB).
BPHB chief executive officer Datuk Mior Ahmad Baiti Mior Lub Ahmad said the parent holding was expected to raise RM400mil via the placement of up to 15% of its issued and paid-up capital to its major shareholder(s)/(offerors(s), and up to RM950mil from the issuance of sukuk………………………………………..Full Article: Source

RAM Ratings has assigned respective enhanced long- and short-term ratings of AAA(bg) and P1(bg) to Aspion Sdn Bhd’s (”Aspion” or “the Group”) RM150 million Islamic Commercial Papers/Islamic Medium-Term Notes Programme (2012/2018) (”ICP/IMTN” or “Sukuk”); the long-term rating has a stable outlook.
The enhanced ratings reflect the unconditional and irrevocable guarantee extended by Maybank Islamic Berhad, which improves the credit profile of the Sukuk beyond Aspion’s stand-alone credit profile. (Press Release)

Islamic Corp. for the Development of the Private Sector, the investment arm of the Saudi Arabia-based Islamic Development Bank, started a fund to finance renewable- energy projects in Central Asia and plans another in Africa.
The $35 million Central Asian fund is based in Kazakhstan, Islamic Corp.’s Chief Executive Officer Khalid al-Aboodi said today in Manama, Bahrain. The North Africa fund, expected to be about $35 million to $50 million in size, will open soon………………………………………..Full Article: Source

Global Islamic banking assets held by commercial banks are set to cross $1.8 trillion in 2013, up from the $1.3 trillion of assets held in 2011, Ernst & Young’s World Islamic Banking Competitiveness Report 2013 revealed Monday.
Ashar Nazim, Partner, Global Islamic Banking Center of Excellence at Ernst & Young, said: “The top 20 Islamic banks hold 57 percent of the total global Islamic banking assets and are concentrated in the seven core markets for Islamic banking which include: Saudi Arabia, Kuwait, UAE, Bahrain, Qatar, Malaysia and Turkey.” According to the report, in 2011, the Islamic banking industry in Saudi Arabia, with an estimated $207 billion of Islamic assets, was ranked first. Malaysia, ranked second with total assets of $106 billion in 2011 and UAE ranked third with total assets of $75 billion………………………………………..Full Article: Source

The 2012/13 edition of the World Islamic Banking Competitiveness Report 2011/12 was launched at a specially convened session at the World Islamic Banking Conference in Bahrain. Developed in collaboration with Ernst & Young, the report entitled Growing Beyond: DNA of a Successful Transformation, was presented by Ashar Nazim, Partner, Head of Islamic Banking Excellence Center, Ernst and Young and Shoaib Qureshi, Senior Manager Islamic Financial Services MENA, Ernst and Young.
The report notes that, “Islamic banking growth outlook continues to be positive, growing 50 per cent faster than overall banking sector in several core markets with the Islamic banking assets with commercial banks globally grew to $1.3 trillion in 2011, suggesting an average annual growth of 19 per cent over past four years………………………………………..Full Article: Source

Islamic banks are set to expand as they compete increasingly with conventional lenders in attracting mainstream customers, according to a report by consultancy Ernst & Young released on Monday.
The total of all commercial banks’ Islamic assets is estimated to reach $1.55 trillion this year, $1.8 trillion in 2013 and over $2 trillion mark, the report said. Gulf-based Islamic banks now have $450 billion in assets, about 30 percent of the total………………………………………..Full Article: Source

ABSA would expand its Islamic banking franchise in South Africa and the region using the same strategies that would make it the “go to” bank as coined last week by group CEO Maria Ramos. Islamic banking is operated under the principles of Sharia law which, among other practices, prohibits the charging of interest on loans.
Arrie Rautenbach, Absa’s head of retail markets, said in an interview Islamic banking had always been a strategic initiative for Absa. This was shown by what he said were the “pioneering” propositions that the Barclays-owned bank had brought to the market………………………………………..Full Article: Source

Islamic Banking and Finance Institute Malaysia (IBFIM) aims to maintain supplying an annual average of 30 per cent of Malaysia’s Islamic Finance industry workforce.
Chief Executive Officer Datuk Dr Adnan Alias said the institute would forge more partnerships with educational organisations such as the memorandum of agreement (MoA) signed with Binary University of Management and Entrepreneurship………………………………………..Full Article: Source

A global overview of financial regulatory reforms as well as innovation and inclusive growth in Islamic finance, are among the topics to be discussed at the 10th Annual Summit of the Islamic Financial Services Board (IFSB).
To be held from May 14-17, 2013, the Summit is themed, “The Future of the Islamic Financial Services Industry: Resilience, Stability and Inclusive Growth”. Bank Negara Malaysia is hosting the landmark IFSB Summit……………………………………….Full Article: Source

Islamic International Rating Agency (IIRA) has reaffirmed its Shari’a Quality Rating of AA (SQR) assigned to Jordan Islamic Bank (JIB). This rating indicates JIB’s conformance to very high standards of Shari’a compliance in all aspects of Shari’a quality analysis.
Owned in majority by the Al Baraka Banking Group (ABG), one of the most prominent Islamic Banking Groups in the world, JIB is the largest Islamic bank in Jordan. Commitment to maintaining and enhancing the level of compliance with the spirit of Shari’a rulings in Islamic finance, stems from the vision of ABG and the Board of Directors of JIB, as well as the bank’s managerial leadership………………………………………..Full Article: Source

The Islamic Economic Advocacy and Communication Forum (ForKAES) was formed as mandated by the PKES National Members Convention (KNA) on 13th July 2012 to optimize the achievement of Islamic financial/economic communication and socialization targets. ForKAES is a communication forum for associations formed by professionals and practitioners linked to the Islamic economy and observers of the Islamic economy in Indonesia.
ForKAES aims to coordinate and synchronize socialisation programs and activities, publications and communication conducted by related associations like the Islamic Economic Community (IEC), the Islamic Banking Association of Indonesia (ASBISINDO), the Indonesian Association of Islamic Economics (IAEI), the Indonesian BMT Association (ABSINDO), the Islamic Insurance Association of Indonesia (AASI) and the Islamic Economic Communication Centre (PKES). (Press Release)

Bank Al Muamelat Assahiha (BMS), one of Mauritania’s most recently-established Islamic banks, has chosen Path Solutions’ Enterprise Islamic Banking System - iMAL to support the launch of its Islamic banking operations across four initial branches.
BMS, which has its headquarters in Nouakchott, selected Path Solutions’ iMAL package as its preferred Islamic Core banking solution following an intensive bidding process among three shortlisted contenders………………………………………..Full Article: Source

Tourism Development & Investment Company (TDIC), master developer of major tourism, cultural and residential destinations in Abu Dhabi, and Abu Dhabi Islamic Bank (ADIB), launched an exclusive home finance scheme for high-end residential communities on Saadiyat island.
This scheme, which applies to purchases of the luxury Saadiyat Beach Villas, will offer a unique and simple home finance package for potential Saadiyat island residents that includes 100% finance up to Dhs30m repayable over a period of 25 years with a competitive profit rate starting from 4.99%………………………………………..Full Article: Source

Islamic interbank lending is now starting to move away from Murabaha contracts to Wakala, which is seen as a stronger Sharia-compliant process, said report.
The International Islamic Financial Market (IIFM), the global standardisation body for the Islamic capital and money market, is currently working on standardised agreements in the use of Wakala contracts, a key issue in interbank lending in the industry……………………………………….Full Article: Source

The Bumiputra Agenda Steering Unit (Teraju) and RHB Islamic Bank Bhd will collaborate to provide financing of up to RM520mil under the Teras Fund to bumiputra companies. Minister in the Prime Minister’s Department Tan Sri Nor Mohamed Yakcop said that 250 companies had received funding to-date, including 150 firms under Teraju’s initial collaboration with SME Bank.
“Over RM1bil has been credited into the Teras Fund to benefit companies,” Nor Mohamed, who is also Teraju chairman, said……………………………………….Full Article: Source

Arab investors in a €400m (US$516m) French property fund operated by Dubai Islamic Bank (DIB) are considering legal action after claiming they have not received any dividend or audited financial statements on the fund’s status since 2009.
The Al Rayyan II French Property Fund was launched in 2005 and is managed by Qatar Islamic Bank (QIB) on behalf of DIB. The €400m (US$516m) fund invested in a number of income-producing properties in France and initially gave investors a yearly return of around 8 percent………………………………………..Full Article: Source