Finally, one of the most obvious markets for Islamic finance is opening for business. Egypt’s Government is currently inundated with applications for banking licences as foreign banks rush to take advantage of its potential. It’s also launched an Islamic index and is hoping to plug a $1 billion hole in its finances with a Sukuk issuance this year.
Surely Egypt, with an economy dependent on agriculture, a 90 per cent Muslim population and a claim to being the birthplace of Islamic finance is the perfect country for Islamic finance to thrive. Its devoutly religious population – 84 per cent of which support the death penalty for those who leave Islam, according to a 2010 Pew Global Attitude Survey – must welcome the chance to bank without violating their strict faith………………………………………..Full Article: Source

Non-interest banking - There may not be a direct link between the growth of non-interest banking (a.k.a. Islamic Banking) around the world and the credit crunch financial crisis that almost brought down the world financial system in 2008.
It cannot be claimed, either, that Islamic Finance is growing out of the ruins of the Western interest-based financial system that has been suffering one set back or another since the 1980s with the rate of banks’ failure rising steadily. But, there is no denying the fact that, Islamic banking is providing an alternative model or at least redefining the conceptual approach to banking and finance……………………………………….Full Article: Source

A planned Islamic bond announced by South Africa last year will be an international bond forming part of $1.5 billion in foreign issuance, Treasury Director General Lungisa Fuzile said on Wednesday. Fuzile did not specify a time frame for the launch, but said South Africa would undertake roadshows abroad to prepare markets.
“All that remains now is to take the money. We’ve done a Tokyo road show and we will do the U.S. and Europe and another leg in East Asia,” Fuzile told Reuters after the release of the 2013 national budget ………………………………………..Full Article: Source

The Dubai Electricity and Water Authority, or Dewa, returned to global debt markets after an absence of more than two years on Thursday with a $1 billion Islamic bond, or sukuk, which drew very strong demand.
The government-owned utility printed the five-year paper at par at a profit rate of three per cent, a statement from lead arrangers said. The final profit rate was at the tighter end of guidance released earlier in the day, indicating healthy investor appetite. Order books were reportedly over $5.5 billion before they closed in the Middle East, and traders indicated the deal was already bid higher in the grey market ahead of pricing. ……………………………………….Full Article: Source

The Libyan government may issue bonds in order to help banks in the country by giving them access to tradable financial instruments, Libya’s central bank governor Saddek Omar Elkaber said Thursday. “We don’t need to raise money through selling bonds but may issue sovereign bonds to boost investment banking and create a market,” he said.
“There’s a plan to issue three licenses for Islamic banks. Some conventional banks now have Islamic windows but there is a huge need for Islamic products. We’re still in the brainstorming stage and will be ready soon.” ……………………………………….Full Article: Source

A new initiative to transform Dubai into a global hub for sukuks is aimed at positioning the UAE as a top-ranked economy in the world, His Highness Shaikh Mohammed bin Rashid Al Maktoum, Vice-President and Prime Minister of the UAE and Ruler of Dubai, said on Wednesday.
Speaking to journalists at the launch of a bold initiative ‘Transforming Dubai into a Global Centre for Islamic Bonds’ at the Dubai Financial Market, Shaikh Mohammed said the UAE, under the leadership of the President, His Highness Shaikh Khalifa bin Zayed Al Nahyan, “seeks to maintain its position as the overall top-ranked economy through such projects and initiatives”………………………………………..Full Article: Source

A landmark announcement by His Highness Sheikh Mohammed bin Rashid Al Maktoum, Vice President and Prime Minister of UAE and Ruler of Dubai, to turn the emirate into a global centre for sukuk (Islamic bonds) is expected to trigger a boom in sukuk issue in the region’s commercial and investment hub.
Reacting to the initiative, the latest in a series of aggressive economic overtures by Sheikh Mohammed, local officials and analysts described it as a major step towards achieving the ultimate goal of turning Dubai into a world Islamic economic capital. One official said the sukuk initiative would also give a strong push to the UAE economy, the second largest in the Arab world after Saudi Arabia………………………………………..Full Article: Source

The UAE should have active bond market to face any financial crisis and that bonds market had proved it is a very good instrument to alleviate the repercussions of any economic and financial hardships, Sultan Bin Nasser Al Suwaidi, UAE Governor of the Central Bank, told Gulf News.
Al Suwaidi said: “An active bond market is very fundamental to deal with any future financial crisis and to alleviate the pressures on banks’ liquidity through the creation of a high degree of liquidity in the economy which would assist in addressing the negative impact in a crisis situation.” He added that the Central Bank had encouraged financing through issuing bonds and sukuk rather than taking loans or borrowing from banks………………………………………..Full Article: Source

Export-Import Bank of Malaysia Bhd (Exim Bank)’s Islamic financing contribution to total loans is targeted to increase to 30 per cent within the next two years from 20 per cent, currently. Its managing director and chief executive officer Datuk Adissadikin Ali said the increase would be supported by higher loan disbursements, targeted to grow at least 30 per cent, annually, until 2015.
“Last year, total loans disbursement surpassed 30 per cent growth, year-on-year, to exceed RM3 billion………………………………………..Full Article: Source

The banking sector in Abu Dhabi showed consistent increases in liquidity and net profits throughout 2012, largely aided by net-interest earnings and bigger profits from Islamic finance. Fourth-quarter results and a strong performance by many banks’ shares - the strongest in five years - have led many analysts to conclude that the sector is firmly on the path to recovery.
Indeed, Reuters reported on February 6 that the Abu Dhabi bank index was up by 11.4%, outperforming a 10.1% increase in the overall market, though from an admittedly low base. October 2012 was as a major turning point for the UAE’s banks, when outstanding provisions - which banks set aside for bad loans - decreased for the first time since 2008………………………………………..Full Article: Source

International Islamic (QIIB) will provide finance to Qataris and residents with the “lowest profit rate,” grace period of up to six months as well as quick and easy processing, the bank said.
QIIB has also come out with an “unique” offer linked to this finance scheme under which it will compensate “1% of the transferred liability” to customers moving their liabilities from other banks. The offer will be in force until March-end, QIIB said. ……………………………………….Full Article: Source

Bank Dhofar has been granted an Islamic banking licence by the Central Bank of Oman to operate its window operation, ‘Maisarah’.
“Maisarah Islamic banking services will offer pure innovative, regulated Islamic banking products and services by highly experienced and trained segregated staff using dedicated Shari’ah-compliant core-banking systems with separate books of accounts,” Bank Dhofar said in a bourse filing………………………………………..Full Article: Source

Bahrain’s ABC Islamic Bank posted a net profit of $8.3 million for the year 2012, a slight increase on a net profit of $8.1 million recorded in 2011.
Total operating income amounted to $16 million, six per cent higher than last year of $15.1 million. Operating expenses increased by $0.8 million to $6.9 million, resulting in cost to income ratio of 43.3 per cent, compared to 40.8 per cent in last year, mainly due to higher staff expenses related to compensation scheme………………………………………..Full Article: Source

Standard Chartered Saadiq Berhad (StanChart Saadiq), the Islamic banking subsidiary of Standard Chartered Bank Malaysia, opened its first branch in Kuching last week. StanChart Saadiq chief executive officer Wasim Saifi said the new branch will further support the growth of Islamic banking in the country and, at the same time, strengthen its Islamic banking footprint in Sarawak and Sabah.
“Islamic banking has been growing twice as fast as conventional banking, owing to the rising customer demand, increasing sophistication of Islamic banking offerings and strong government support,” Wasim said in a statement. ……………………………………….Full Article: Source

Al Baraka Islamic Bank B.S.C win the ‘Best Islamic Bank in Bahrain for 2012′ Award from the ‘Euromoney’ magazine, the world’s leading financial and banking magazine as a part of its annual prizes for Islamic Finance which had announced it in the magazine issue for the current month February 2013.
The Award was received by Mr. Mohamed Isa Al Mutaweh Member of the Board of Directors and Chief Executive Officer of Al Baraka Islamic Bank in the official ceremony, which was held in London on February 26th in the presence of a group of banking leaders and officials from various countries in the region and beyond………………………………………..Full Article: Source

Takaful Ikhlas Sdn Bhd has marked its 10th year of presence in the takaful industry by receiving the Best Takaful Provider award for the third time at the recent Euromoney Islamic Finance Awards 2013. President and Chief Executive Officer Ab Latiff Abu Bakar said the award will drive the company to continue with its commitment to provide the best services in fulfilling the needs of customers.
“For the past 10 years, Takaful Ikhlas has managed to establish a strong presence in the business of providing Islamic financial protection services based on the Takaful concept, which stresses on a spirit of cooperation and joint responsibility among participants………………………………………..Full Article: Source

Qatar General Insurance and Reinsurance (QGIR) has embarked on strengthening its operations in the regional markets and has been open to overseas investments, especially in the areas of insurance, banking and real estate.
Highlighting that its general takaful was able to achieve “remarkable” results with premium growing 400% in the past five years, Sheikh Nasser said QGRI is focused on expanding the customer base and increasing the market share by adding new branches and providing new lines of products that are compatible with the Islamic Shariah and providing competitive insurance products for Islamic banks’ clients………………………………………..Full Article: Source