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ADNOC Distribution and Abu Dhabi Ports signed a Mustaha agreement. The new agreement aims to strengthen ADNOC Distribution's capacity to develop new projects at Khalifa Industrial Zone (Kizad) and provide logistical support. The agreement was signed by Saeed Mubarak Al Rashidi, CEO of ADNOC Distribution and Mana Mohammed Saeed Al Mulla, CEO of Kizad. ADNOC Distribution will set up a lubes and grease plant, as well as strategic storage warehouses. The company will commence its operations in the new location by the beginning of 2022.

Guidance Capital Markets announced it closed a three year Sukuk issuance for the Saudi Arabian conglomerate Al Bayan. The USD denominated Sukuk was issued last week through a private placement with three GCC banks, and was led by Guidance, who also acted as financial advisor to Al Bayan. The issuance is one of the first transactions of its kind, where a private conglomerate in KSA closed a USD dollar Sukuk through a private placement.

Banks across the #GCC are resorting to job cuts and tighter recruitment policies to trim costs. The banking sector has come under pressure following decline in economic activity resulting from reduced oil revenues. According to industry estimates UAE banks have shed nearly 1,200 jobs from the second half of last year. RAKBank has announced a cut of up to 250 jobs, Abu Dhabi-based First Gulf Bank, HSBC and Standard Chartered have also reduced their headcount.

Islamic and Christian finance have evolved from the same roots and a shared history. They share much in common and divergent views on interest and usury will probably remain the key difference for the near future. Like Islamic Finance, Christian Finance operates alongside modern-day conventional financial services. For example Reliance Bank in the UK avoids dealings with any company whose main source of income is derived from sales of tobacco, alcohol, gambling, pornography and armaments.

Emirates Islamic Bank completed a $50 mn (Dh183 mn) Collateralised Murabaha deal with France-based Natixis on the Nasdaq Dubai. This was the largest collateralised Murabaha transaction closed by Emirates Islamic this year, and the first of its kind executed on the Nasdaq Dubai Murabaha Platform. CEO of Emirates Islamic Jamal Bin Ghalaita said the transaction sets a precedent for other financial institutions considering Sharia-compliant financing.

The Islamic Research and Training Institute (IRTI) is organizing a seminar to discuss the role of Islamic microfinance in poverty alleviation on 14-15 May 2016 in Bogor, Indonesia. IRTI is organizing the event in conjunction with the 41st Annual Meeting of the IDB Group. The event features the launching of the Islamic Microfinance for Poverty Alleviation and Capacity Transfer (IMPACT) Program, which aims to disseminate the best practices in Islamic microfinance.

Egyptian Takaful Property and Liability Insurance (EGTAK) will soon start talks to renew its reinsurance agreements with Hannover Re SE. Head of the Reinsurance Department Hamed Mahmoud said he expects the German reinsurer would renew its agreements without placing any additional conditions.

Shariah investing is forecast to grow very rapidly, following the long-term trends of emerging markets. Executive Chairman of Templeton Emerging Markets Group, Dr. Mark Mobius found that emerging markets outperformed US and world markets in 17 out of the last 28 one-year periods. Islamic stocks in Indonesia, Malaysia and Turkey are doing particularly well. Dr. Mobius said 40% of world GDP is in emerging markets, currently Muslim majority countries have a GDP growth of 8%, up from 4% in 1987.

The International Monetary Fund (IMF) has calculated that, if oil prices remain low, the fiscal deficits of the Gulf Cooperation Council (GCC) and Algeria will total almost $900 bn between 2016 and 2021. The non-oil sector in the GCC is projected to grow at an average rate of 3.25% per year over the next five years, compared to an average of 7.75% between 2006 and 2015. Thus, regional governments are being forced to review their expenditure plans. A recent PwC survey found that 75% of the more than 130 owners have already been impacted by funding constraints, while 65% forecast they will have less to spend next year.

#Bahrain-based First Energy Bank (FEB) appointed Khaleefa Butti Omair as the Bank's new chairman, following the recent departure of the Bank's former chairman, Khadem Al Qubaisi. Mr. Khaleefa is a national of the United Arab Emirates with over 13 years experience in investment management. He serves as Chairman and board member of several companies.

Bank Negara Malaysia Governor Datuk Muhammad Ibrahim called on the Islamic finance sector to embrace the financial technological revolution. Technologically-driven applications have spread to every segment of the financial sector, with the number of fintech start-ups having doubled in one year. He noted that the potential impact can be significant, with 10 to 40 % banking revenue possibly at risk by 2025 due to fintech innovations outside banking institutions that are able to offer significant pricing advantage. Bank Negara is reviewing the changes needed to its regulatory framework to ensure that it remains appropriate to manage the risk while encouraging productive innovation.

The #Bahrain based Al Baraka Banking Group (ABG) announced that it achieved a substantial increase in total operating income of 16%, and net profits before tax and provisions by 13% during the first quarter of 2016. President & CEO Adnan Ahmed Yousif said the group opened 20 new branches in the first quarter of 2016 to bring total branches to 607 branches with total staff of 11,458. Additionaly, ABG obtainied official approval to establish a banking unit in Morocco, which means a higher diversification in assets and income sources for the Group.

Saudi Arabian Monetary Agency (SAMA) is expected to obtain a full membership at the Financial Action Task Force (FATF) in June 2018. At the 8th Compliance & Anti Money Laundering Seminar in Saudi Arabia SAMA Vice Governor Abdulaziz Al-Furaih said several new assessments have emerged including the set of recommendations by FATF and the MENA Financial Action Task Force (MENA FATF). Thomson Reuters Managing Director Nadim Najjar noted that compliance costs are set to increase in 2016.

Bahrain Islamic Bank (BisB) has announced the appointment of Nada Ishaq Abdul Karim as Executive Secretary to its Board of Directors. The appointment of the first Bahraini woman in this position comes within the Bank's strategic plans in line with the "Ishraq" Initiative- Back to Basics 2016. CEO Hassan Amin Jarrar said this shows the bank's continuous support for qualified Bahraini women and promotion of Bahraini personnel.

On 27 April 2016 Ziraat Participation Bank closed its first Syndicated Murabaha Financing Facility. The debut transaction received a strong response from the market. Due to the significant oversubscription, Ziraat Participation Bank increased the facility size to US$155 mn. CEO Osman Arslan said the proceeds from the facility will be used to support the funding requirements of SMEs and the financing of trade related businesses.

Accounting and Auditing Organization for Islamic Financial Institutions (AAOIFI) holds on 4 May 2016 its International Conference, marking its 25th anniversary. Dr. Hamed Hassan Merah, Secretary General of AAOIFI said time is proper to revisit the 40 years history of the Islamic finance industry to evaluate its experience and contemplate the way forward.

The lifting of sanctions has not only enhanced Iran's economy but has also provided an opportunity for Shari'ah-compliant investment with diversification opportunities. Iran's Islamic banking assets are $482 billion, according to Dubai Government data from 2014. Islamic finance in Iran can benefit from the sheer volume of the post-sanction investments and such projects are reportedly high. This will in turn support the market growth and create growth opportunities for the banking system in Iran.

The regional banking sector has entered a new paradigm with margin compression, tightening liquidity, moderate asset and profit growth, limited capital market activity, greater focus on cost reduction and a widespread need for greater capital and funding. KPMG, which analysed the results of 56 leading listed commercial banks in the GCC, noted Qatar's listed banks remain relatively resilient and their long-term outlook remains positive. Omar Mahmood, Head of Financial Services for KPMG said Qatar experienced the second highest growth rate in the region thanks to an increase in corporate lending as a result of the infrastructure boom.

According to Kuwait Finance Centre Markaz the Middle East will see $58 billion in bond and Sukuk issuance in 2016 and $385 to $390 billion through 2020. The excess allocation towards real estate has been exasperated by the shortage of Shari'ah-compliant fixed income. The next few years may be challenging for the GCC and its Takaful companies if energy prices stay low because the low penetration rate of insurance and Takaful has led to an extremely competitive market. A pipeline of around $60 billion per year for the next five years will support banks and Takaful operators to manage their balance sheets and support growth.

Khalid Al Aboudi, Chief Executive Officer of Islamic Corporation for the Development of the Private Sector (ICD), rang the market-opening bell to celebrate the listing of a 300 million US dollar Sukuk on Nasdaq Dubai. The total nominal value of Sukuk currently listed in Dubai has now reached $42.61 billion, more than the value listed in any other centre. The Islamic Development Bank (IDB) Group has seven other Sukuk currently outstanding on Nasdaq Dubai that have listed since 2014, with a total nominal value of $8.05 billion.