Kuwait Finance House Research (KFH Research) stated in a report that the total Sukuk issuance for the past January and February reached $22 billion through 160 issuance processes; Malaysia ringgit purchased the largest share.
While the sovereign Sukuk remained the prevailed ones; like the last year. Sukuk issuance momentum continues in 2013 with a total issuance of $22 billion to date. Despite this being lower than the $28.3 billion issued over the same period of 2012, the monthly average for the year is slightly higher than seen throughout 2012 and provides an initial annualised forecast of $132 billion for the year………………………………………..Full Article: Source

Qatar’s Central Bank will issue 4 billion riyals ($1.1 billion) of local currency Sukuk and 3 billion riyals of local currency conventional bonds. The issuances are part of an adjustment of monetary policy and in order to help commercial banks meet Basel III liquidity requirements, reported Reuters, citing the Central Bank.
The Central Bank will announce a timescale for the issuances later. Local currency debt will be issued every quarter, half with three-year maturities and half with five-year, it said in a statement cited by Reuters………………………………………..Full Article: Source

Qatar’s central bank yesterday issued QR1bn ($300mn) of local currency sukuk and QR3bn of local currency conventional bonds, as part of an adjustment of monetary policy and in order to help commercial banks meet Basel III liquidity requirements.
Local currency debt will be issued every quarter, half with three-year maturities and half with five-year, the central bank said in a statement. It did not give specific dates or sizes for future issues, saying they would be announced later. “The aim of issuing these bonds is to develop monetary policy and the implementation of a mechanism of co-ordination between monetary and fiscal policy and support the strength of the banking system and financial and market tools,” it said………………………………………..Full Article: Source

Dubai-based state-owned and private corporations show no let-up in issuing Islamic bonds or “sukuk” as market demands remain unchanged. On an almost weekly basis, big stakeholders in the United Arab Emirates announce plans to make use the booming market of sukuk amid an unprecedented economic comeback.
The debut was made by Dubai Electricity and Water Authority ( DEWA) which issued a sukuk worth 1 billion U.S. dollars with 5 years duration, attracting orders of over 5.5 billion dollars. The DEWA listed the Islamic bond at the NASDAQ Dubai, the UAE’s second stock exchange and the Middle East’s only international exchange………………………………………..Full Article: Source

After lengthy debate and weeks of delay, the final version of the law regulating the issuance of sukuk, or Islamic bonds, was approved by the cabinet and sent to the Shura Council’s economic committee this week for discussion and endorsement.
In a press conference on Sunday, Minister of Finance Al-Morsi Hegazi sought to assuage public concerns that the new law could open the door to selling public assets. Hegazi stressed that Article 3 of the new law prohibits the selling or mortgaging of state propriety, instead allowing the “utilisation” of such assets………………………………………..Full Article: Source

Sukuk (singular Sakk) are in vogue. In 2012, a record $144 billion worth of new Sukuk were issued worldwide, making them the most popular investment instrument in Islamic banking and finance.
While Malaysia and the countries in the Gulf Cooperation Council (GCC), particularly Dubai, have been very active in Sukuk issuance, the new regimes in the ‘Arab Spring’ countries are also developing legal frameworks to develop Sukuk markets………………………………………..Full Article: Source

Qatar International Islamic Bank’s (QIIB) share holders have given the approval for the board of directors’ decision to issue $2bn sukuk. The new issuance is followed by the QIIB’s debut debt deal of $700m sukuk in the international markets in October, 2012.
The ordinary general assembly, chaired by the bank Chairman Dr Sheikh Khalid bin Thani bin Abdullah Al Thani, yesterday approved all the 11 items figured in the agenda, including the 2012 financial results. ……………………………………….Full Article: Source

Emirates NBD, Dubai’s largest lender, has hired six banks to help arrange a benchmark-sized subordinated bond sale, four sources familiar with the plan said, as it seeks to reduce government support for its capital ratios.
ENBD has hired HSBC Holdings, National Bank of Abu Dhabi, Citigroup Inc, J.P. Morgan Chase, Societe Generale and itself for the planned sale, two of the sources said, speaking on condition of anonymity as the matter is not public………………………………………..Full Article: Source

Dubai Airport Freezone (DAFZA) was granted a credit line of AED500 million (US$136million) by Abu Dhabi Islamic Bank (ADIB). The agreement was inked at the office of DAFZA by the CEO of ADIB Tirad Al Mahmoud and Director General of DAFZA Dr. Mohammed Al Zarooni.
“The Dubai Airport Freezone has made significant efforts in promoting Dubai and the UAE to the international business communities, we are pleased to provide them with customized Islamic financial solutions that will help them achieve their expansion objectives,” according to Al Mahmoud. ……………………………………….Full Article: Source

BLME, the largest Islamic bank in Europe whose main shareholders are Kuwait’s Boubyan Bank and the Kuwaiti Public Institution for Social Security, said its net operating profit before impairment charges in 2012 hit GBP7.3 million ($10.9 million), up 67 per cent over GBP4.4 million the previous year.
An independent wholesale Sharia’a compliant bank based in London, BLME said its operating profit before tax touched GBP5.51 million. The group’s balance sheet too showed a 29 per cent growth whch soared to more than GBP1 billion………………………………………..Full Article: Source

National Bank of Bahrain (NBB) and Social Insurance Organisation Asset Management Company (SIOAM) yesterday announced that they were taking a controlling stake in Bahrain Islamic Bank (BisB).
The two financial institutions said they had agreed terms with The Investment Dar (TID) of Kuwait to purchase its and associated companies’ shareholding of 51.6 per cent in BisB. The shares are to be purchased by NBB and SIOAM at 72 fils per share which gives BisB a value of around BD70 million………………………………………..Full Article: Source

Investment Dar Co., the controlling shareholder in British luxury carmaker Aston Martin, agreed to sell its stake in a loss-making Bahraini bank for $92 million as the Kuwaiti company restructures debt.
Investment Dar accepted an offer from National Bank of Bahrain and a state-run Social Insurance Organization Asset Management Co. to sell its 51.6 percent stake, or 484 million shares, in Bahrain Islamic Bank at 72 fils apiece, according to statements posted on the Bahrain Bourse. National Bank of Bahrain (NBB) and Social Insurance will hold 25.8 percent each after obtaining regulatory approvals………………………………………..Full Article: Source

Islamic banking is a highly viable option for non-Muslims as well, said Dr Volker Nienhaus, professor of economics and former president of the University of Marburg, Germany, at a recent lecture in Doha.
He also observed that while Islamic banking comprises only around 10% of global banking, it is growing steadily. Dr Nienhaus made the statements while delivering a lecture on the topic, “ Islamic Finance for Non-Muslim Clients: Are There Great Potentials?” at Qatar Faculty of Islamic Studies (QFIS), Education City. ……………………………………….Full Article: Source

The Keralite community of Jeddah proudly released the book “Islamic Banking” written by KTM Kutty during a function at Red Sea Palace Hotel here recently. The book is first of its kind to be released in the Malayalam language.
Prof. Muhammed Azmi Omar, director general of Islamic Research and Training Institute (IRTI) at the Islamic Development Bank, released the book by handing it to Alungal Muhammed, CMD of Abeer Medical Group. The program was organized by the Islamic Dawah Council in Jeddah………………………………………..Full Article: Source

A leading economist has emphasized the importance of embracing Islamic banking to confront challenges facing the global economy. M. Azmi Omar, Director General of Islamic Research and Training Institute (IRTI) at the Islamic Development Bank, said the Islamic banking industry could offer solutions to economic crises besetting many countries of the world.
Omar made the remarks while delivering a presentation on “Features of Islamic Banking and Its Challenges” at Red Sea Palace Hotel Jeddah on Thursday on the sidelines of a book launch. The function was organized by the Jeddah-based Islamic Dawa Council (IDC)………………………………………..Full Article: Source

The Saudi banking system anchored its stability with precautionary measures and effective capacity utilization over the past two years. High liquidity, adequate capitalization and prudent risk management and supervision represent the backbone of Saudi’s banking overhaul.
Following a successful rebound in 2011, the 12 locally incorporated banks’ net income during 2012 recorded a staggering SR 35.1 billion, an annual growth rate of 11 percent, according to a report by the National Commercial Bank (NCB)………………………………………..Full Article: Source

Meethaq, the pioneer of Islamic banking in Oman from Bank Muscat, has launched an innovative Shari’a compliant current account which has evoked good response.
Meethaq current account is based on the fundamental Islamic principle of Qard (interest free loan) whereby the customer is the lender and the bank is the borrower. Qard (interest free loan) is a contract whereby the principal amount deposited by customers is guaranteed to be repaid by the bank on demand………………………………………..Full Article: Source