IslamicFinance.de

The Islamic Financial Services Board (IFSB) is organising its 8th Summit which is themed: "Enhancing Global Financial Stability: Challenges and Opportunities for Islamic Finance" on 10-13 May 2011 in Luxembourg. The Summit will be hosted by Banque centrale du Luxembourg.
The key challenges and opportunities identified for the Islamic financial services industry (IFSI) to enhance global financial stability will be discussed in this year's Summit.

Universities are expanding Islamic finance courses as demand for professionals qualified in Shariah law outstrips supply in the $1 trillion industry.
After enrollment for its general program in finance complying with Muslim tenets tripled in the past year, the International Islamic University of Malaysia plans to start postgraduate courses specializing in Shariah-compliant capital markets, banking and insurance. La Trobe University in Melbourne, which started classes this year, is working with officials in Malaysia to offer industry-recognized qualifications.

Universities are expanding Islamic finance courses as demand for professionals qualified in Shariah law outstrips supply in the $1 trillion industry.
After enrollment for its general program in finance complying with Muslim tenets tripled in the past year, the International Islamic University of Malaysia plans to start postgraduate courses specializing in Shariah-compliant capital markets, banking and insurance. La Trobe University in Melbourne, which started classes this year, is working with officials in Malaysia to offer industry-recognized qualifications.

Kuwait Finance House (KFH) reported a net profit of $10m following the liquidation of a real estate fund targeting the Turkish market.
The liquidation process seem to come with a return on investment of 14 percent.

Indonesia’s Islamic bonds may extend this year’s rally that drove yields to record lows on prospects of further ratings upgrades.
PT Bhakti Asset Management’s BIG Dana Muamalah fund bought rupiah-denominated government sukuk in March.

Malaysia's government-owned Pelaburan Hartanah Bumiputra launched an investment trust in order to encourage its majority Muslim Malays to invest more in property.
The sharia-compliant Real Estate Investment Trust (REIT) would allow Muslim Malays and indigenous groups to increase their stake in real estate assets.
As part of the plan the government would roll out programmes to enhance bumiputra capabilities.

A new REIT was established Dubai this week, and is likely to list in London within the next 18 months.
The REIT is a collaboration between Dubai Islamic Bank and Eiffel Management.
Before undertaking a dual listing in the next 18 months, Emirates REIT will initially list on the Dubai Nasdaq stock exchange.

The Central Bank of Indonesia has an aim: to create a strong sharia banking industry by 2015. This development strategy, as well as a broader sharia religious revival in the country that is helping to increase the popularity of sharia banking products, will lead to continuous strong growth in this sector during the forecast period.

The assets of sharia banks in Indonesia are anticipated to reach around Rp 399.6 Trillion in 2013 over Rp 107.1 Trillion in 2010.

Editorial Note: The news is linked to an outdated report: "Publish Date: Feb, 2009"

Getting Islamic finance to become more mainstream needs a significant change to take place in the industry.
During the three-day event at the Gulf Hotel in Manama, delegates heard of the challenges facing the proliferation of Islamic finance products.
Shebab Marzban, product development officer for Egypt-based Ideal Ratings, instigated the discussion when he warned that many Western fund managers fail to carry out correct due diligence on Islamic finance products.

In order to meet the banking needs of corporates in Bahrain and Bangladesh, HSBC Amanah has launched a range of products and services.
HSBC Amanah corporate banking products available in Bahrain include business accounts, investment solutions, working capital finance solutions, trade finance solutions.
HSBC Amanah is also planning to open a branch dedicated to Shariah-compliant banking in Bangladesh this December.

Fifa bought into the vision of new markets, notwithstanding the oppressive heat of the summer, big vision of small sized Qatar and the perceived instability of the region.
The World Cup should be seen as a new beginning for (economically established) Muslim countries.
A number of stadiums need to be built, infrastructure to connect, and accommodations to house participants, hence, an ideal situation for financing via 'FIFA World Cup sukuk' programme series.
The initial cost estimates of the public works is estimated to be nearly US$50 billion (RM157.15 billion).
Malaysian Islamic banks should look into merits of naming rights for the stadium, and it should be viewed as an investment.

Ratings agency Standard & Poor’s have upgraded the outlook of Dubai-based takaful insurer Aman from negative to stable.
According to S&P, Aman has displayed resilience during the downturn and has produced a good underwriting performance.

It seems that islamic bonds are not perceived as positively as conventional debt markets.
That was the message from LAU assistant professor of finance Dr Rima Turk Ariss, who was speaking on the sidelines of the fourth Accounting and Auditing Organisation for Islamic Financial Institutions (AAOIFI) conference at the Crowne Plaza.

Dar Al Arkan Real Estate Development Co., Saudi Arabia’s biggest property company by market value, can repay 7.8 billion riyals ($2.1 billion) of debt maturing within five years without tapping the bond market again.
Rental income from properties in Mecca, Medina and Riyadh will generate 300 million riyals a year and the company plans to raise money by selling residential properties and land in its portfolio, though not fixed assets.

Companies within the industry are continuing to debate the standards that need to be met to be considered a "Sharia-compliant" hotel.
One such company is Shaza Hotels. The luxury operator, which is a joint venture between Kempinski Hotels and Guidance Hotel Investment Company, based in Paris, is aiming to open hotels that are alcohol-free and "display the values and cultures of the Middle East and North Africa".
Shaza announced plans to manage a luxury hotel in Karbala, Iraq, which is being developed by Range Hospitality, based in Dubai.

DBS Bank Limited, Sumitomo Trust & Banking and Nikko Asset Management of Japan have signed an agreement to combine DBS Asset Management and Nikko AM.
DBS and Nikko AM will enter into a non-exclusive distribution agreement, whereby Nikko's portfolio of investment products can be distributed through DBS' network in core regional markets.

Many jurisdictions are interested in Islamic finance and have taken initiatives to develop the industry through reviewing their legal framework to facilitate the introduction of a range of Islamic financial products, including more recently France, Ireland, Australia, Jordan, Japan, Hong Kong, Korea and Lebanon.
One of the key determinants for the successful development of Islamic finance in any jurisdiction is the existence of a conducive legal framework that supports the operations and growth of the industry.

The Islamic Development Bank (IDB) this morning listed its trust certificate issuance programme or sukuk programme on Bursa Malaysia.
The conferment is given to foreigncurrency denominated issuances with a focus to provide greater visibility to the Malaysian market in raising funds by local and foreign corporations.

After a meeting of The Board of Directors ("the Board") of The Investment Dar on the Nov 25, 2010, the Company issues the following update on its financial restructuring.
The letter gave notice of the CC's resignation effective at the close of business Nov 28, 2010 to immediately begin negotiations on an alternative 'Debt for Equity' proposal and to issue invitations to shareholders to attend an OGM/EGM to discuss a restructuring plan based on this principle.

Rasmala Investment Bank from Dubai appointed two new co-CEOs and has accepted the resignation of its CEO Tamer Bazzari.
The Board also appointed Anwar AbuSbaitan and David Woods as Co-CEOs.
A rationalisation plan was approved in order to bring costs down by 25 per cent and prepare Rasmala for a strong 2011.