IslamicFinance.de

Islamic International Rating Agency (IIRA) has reaffirmed national scale credit ratings of Bank of Khartoum (BOK) at 'AA-/A-1' (Double A Minus / Single A One). Outlook on the assigned rating is 'Stable'. The fiduciary score has been assessed in the range of '70-75', reflecting adequate fiduciary standards wherein rights of various fund providers are adequately defined and protected. Ratings derive strength from the bank's strong franchise and retail presence in Sudan, with an established history of rapid assets growth since acquisition by the present shareholders and into 2014. The bank maintains sizable liquid reserves, though liquidity management is constrained by systemic concerns.

The Grand Duchy of Luxembourg is keen to issue another sukuk next year following the success of the QInvest-assisted, first euro-denominated sovereign sukuk issued in September 2014, Finance Minister Pierre Gramegna said. He attended a roundtable discussion in Doha, focussing on strategic co-operation between the two countries in the field of international finance, among others. According to Gramegna, the seminar focused on Luxembourg as a diversified financial centre for private and institutional investors from the Middle East, as well as a leading Islamic finance centre in Europe. He noted that economic ties between the two countries led to a number of Qatari investments in the Grand Duchy.

The Ministry of Finance (MoF) hosted the first UAE-Luxembourg Council for Islamic Finance Cooperation meeting in Dubai yesterday. The meeting was attended by a number of prominent economic and financial institutions from both countries. UAE members of the council include MoF , the Central Bank, UAE University, Dubai Islamic Economy Development Centre, World Trade Center Abu Dhabi, Dubai Chamber, Etihad Airways, Al Hilal Bank, Sharjah Islamic Bank and Abu Dhabi Islamic Bank. Luxembourg's representativesinclude the Ministry of Finance, Luxembourg Bankers' Association, Association of the Luxembourg Fund Industry and the University of Luxembourg.

A two days specialized Takaful workshop arranged for Insurance and risk management professionals by Al-Huda, Centre of Islamic Banking & Economics (CIBE) took place in Dar es Salaam. At the workshop, Mr. Paul J. Ngwembe, Director Legal Enforcement, of Tanzania Insurance Regulatory Authority (TIRA) disclosed that TIRA is at the final stage of drafting Takaful Regulations with a view to setting up a regulatory mechanism of Takaful in the country. He added that TIRA encourages all stake-holders to attend such workshops so as to acquire the requisite know-how of this system. Mr. Zubair Mughal, the Chief Executive Officer of Al-Huda CIBE said that AlHuda CIBE has a long term vision for the development of Islamic Banking and finance industry in Tanzania and other African countries.

Qatar Islamic Bank (QIB) has announced the opening of its new headquarters in the United Kingdom for its subsidiary QIB -UK. The new five storey office is located at 43 Grosvenor Street in the Mayfair district. QIB -UK's focus is on supporting the investment and trade flows between Qatar and the UK. The firm offers real estate investment opportunities for clients looking to purchase premium properties in London. QIB -UK has assembled a team of real estate specialists to ensure clients are well placed to get premium real estate opportunities in the market. QIB -UK, was fully authorised as an Islamic Bank by the UK Financial Services Authority in January 2008, and is fully owned by Qatar Islamic Bank .

The Thomson Reuters Global Sukuk Index is at 117.49811 points, up from 117.48601 at the end of January and 115.79726 at the end of last year. The Thomson Reuters Investment Grade Sukuk Index is at 115.48693 against 115.34912 at the end of January and 113.69014 at end-2014. Some of the sukuk in the pipeline are: Kuveyt Turk is seeking a window to sell maiden ringgit-denominated sukuk in Malaysia; the lender will set up a 2 billion ringgit ($549 million) Islamic medium-term note programme. National airline Garuda Indonesia said in late February it had taken a $400 million bridge loan from National Bank of Abu Dhabi and Dubai Islamic Bank and would refinance it with a $500 million sukuk issue later this year. Khazanah Nasional plans to issue sukuk worth up to 1 billion ringgit to help fund schools.

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. The bank is supervised by an eminent Shari'a Supervisory Board, which comprises both Jordanian residents for ease of access, and those present on the group's Unified SSB, for international reach. The SSB regularly reviews activities of the bank to ensure Shari'a compliance. Transparency of financial reporting vis-à-vis investment accounts and corporate governance disclosures are mainly in line with the recommended best practices by IFSB.

Kuwait's Warba Bank has successfully arranged a US$150 million, Sharia-complaint syndicated finance facility for the International Bank of Azerbaijan ("IBA"). The facility has a tenor of one year with a bullet repayment due at maturity. Warba Bank has participated in this transaction with a stake of US$20 million in a consortium of six regional and international banks: J.P Morgan Bank, Citigroup, Barwa Bank, Al Hilal Bank, Noor Bank and Dubai Islamic Bank. In addition, Warba Bank has also announced its contribution of US$15 million in an Islamic Sharia-complaint facility amounting US$80 million arranged by HSBC for the Turkish Ozun Group. Moreover, the Bank sold its real estate investment in West Bromwich in the United Kingdom achieving net profit of KD 640 K.

The Qatari bourse is all set to list one of the four planned investment funds soon. CEO of Qatar Exchange (QE) Rashid Al Mansoori said they were just waiting for the necessary approval to list the fund, while the approval process for listing the second fund is also ongoing. The remaining two proposed funds are under study, he added. One of the four funds is Al Rayan Islamic, while another one will be bonds-based. Details of the four funds are yet to emerge. Al Mansoori said several new companies would be listed on the QE this year. A number of companies have applied for listing and their requests are being looked into by the regulator.

Islamic International Rating Agency ( IIRA ) has reaffirmed the ratings of Jordan Islamic Bank ( JIB ) on the national scale at A+/A1 (jo) (Single A plus/A One). Ratings of JIB on the international scale have also been reaffirmed with the foreign currency rating at 'BB+/A3' (Double B Plus/A Three) and the local currency rating at 'BBB-/A3' (Triple B Minus /A Three). Outlook on the ratings is 'Stable'. Ratings are supported by JIB 's strong franchise and retail presence. Stability at Board and management level has reinforced the organizational culture and has allowed uninterrupted implementation of the bank's business strategy. Regional instability may however continue to be a significant challenge.

Oman's State Council yesterday approved the draft Takaful Insurance Law referred to it by the Council of Ministers and the report which was prepared by Majlis Ash'shura and the State Council Economic Committee concerning that law. Out of 58 articles, 46 articles have been ratified in compliance with the views expressed by the government and the Majlis Ash'shura, although some articles were not agreed upon. The law ensures the formation of a non-conventional mechanism in the insurance system. It's expected to contribute significantly in stimulating the economy by attracting investors and encouraging consumers who are interested in Islamic insurance system.

Islamic lender Masraf Al Rayan announced it will be launching two debut funds. Of these, the Shariah-compliant Qatari equity ETF, to be listed on the Qatari bourse , is targeting foreign investors. A sukuk fund will be focused on sukuk in the GCC. Both funds will be managed by Masraf Al Rayan 's wholly-owned subsidiary, Al Rayan Investment. Al Rayan Investment manages the Sharia-compliant Al Rayan GCC Fund which invests in select companies across the GCC based on a 24-month investment horizon. The fund has two classes, 'Q' and 'F'. The Q-Fund is denominated in Qatari Riyal and is open to Qatari individual and institutional investors, while the F-Fund is denominated in US Dollars and is open to all investors, resident in any part of the world.

The Gulf Bond and Sukuk Association (GBSA), the trade association representing the Arabian Gulf fixed income market, has endorsed proposed standard language for collective action clauses and pari passu clauses for sovereign bond contracts. The language would enhance the predictability and orderliness of sovereign debt restructurings by bolstering existing "collective action clauses" through the introduction of a single vote mechanism that would bind all bondholders to a restructuring proposal, as long as 75 percent of bondholders vote in favor. The documents and further information are available on the website of International Capital Market Association: www.icmagroup.org/resources/Sovereign-Debt-Information/

The Venture Capital industry in the Middle East and North Africa region is set to grow five-fold in the next three years, according to Dany Farha, CEO of BECO Capital, a regional Venture Capital firm focused on technology investments in the MENA region. Farha said this boom will be propelled by the UAE and Saudi Arabia. Tech VC activity in the region is still on the rise across all functions, from fund raising and deal flow, to closing transactions. Almost 60 percent of the companies that BECO saw were revenue-generating and more 20 percent were close to break-even. BECO Capital is targeting investments in the whole of the GCC region, with a special focus on start-ups in Kuwait, Saudi Arabia and the UAE, Egypt, Jordan and Lebanon.

Islamic Corporation for the Development of the Private Sector (ICD) has signed a new agreement with Azerbaijani microfinance institution VisionFund AzerCredit (VF AzerCredit). The objective is to provide advisory services with the aim of developing a comprehensive Shariah-compliant microfinance solution for the country. Vision Fund AzerCredit's work emphasizes the provision of loans to small and micro entrepreneurs in rural areas, especially those remote regions which remain largely unbanked, through 45 outlets in 38 districts. With more than 80,000 borrowers and a portfolio of over US$83 million, the group is a leader in the Azerbaijani microfinance field. The VF AzerCredit agreement represents the latest step in the ICD's program to support and develop the growth of the private sector in Azerbaijan.

Vodafone Qatar has completed the process to become a fully Shariah-compliant company. Professor Dr Ali Qaradaghi, commissioned by Vodafone Qatar 's Board of Directors with the responsibility of transforming the company, said Vodafone Qatar successfully refinanced its conventional interest-bearing borrowings with a Shariah-compliant 'wakala' investment agreement in December. A Shariah compliance review was conducted by the Islamic Finance consultant. Vodafone Qatar said all these activities have been performed under the supervision of Prof Qaradaghi, followed by a comments review and the arrangement of Shariah-compliant alternatives when necessary. All non-compliant activities have been discontinued.

Standard Chartered Saadiq has launched an Islamic financial education programme this month. This programme aims to educate the UAE Community in the ways of responsibly handling their financial future in a Halal way. This programme comprises of a basic and an advanced module which focus on the prohibition of transactions which involve riba, fair distribution of profit and loss as well as prohibition of transactions which involves uncertainty or speculation. This is an extension of the Financial Education for Youth programme which Standard Chartered Bank has been running since 2013.

A nine member delegation comprising of leading Shari'a scholars from Morocco met with Mr. Rasheed Al Maraj, Governor of the Central Bank of Bahrain. The visiting delegation wants to learn from the Bahrain experience in Islamic finance. Mr. Al Maraj welcomed the eminent scholars and assured them of CBB's full support in their Islamic finance journey. During their three day visit the delegation met with the CBB officials, leading Shari'a scholars in Bahrain and global Islamic finance bodies such as AAOIFI, IIFM and CIBAFI. Morocco has been gearing up to offer Islamic financial services in the wake of strong domestic demand.

Banque Misr has registered total Shariah-compliant funding of two billion Egyptian pounds (US$135 million) by end of 2014. Banque Misr's Shariah-compliant deposits have totalled around 26 billion pounds. During fiscal year 2013/2014, Banque Misr had arranged a number of Islamic funding contracts including a US$110 million contract as pursuant to Mudaraba system. The bank had also implemented the first joint Islamic financing with Istisna'a followed by Ijarah system described in the disclosure to finance a project with a total value of about 1.07 billion pounds, Moreover, the bank had carried out the first Islamic finance in the Egyptian market with Musharakah Mutanaqisah system.

Abu Dhabi's government-owned Al Hilal Bank said on Thursday its chief executive Mohamed Jamil Berro had not resigned, correcting an earlier comment from a spokeswoman who said he was leaving. The CEO still remains in his position and it is business as usual for the bank, according to a statement from the bank. Earlier, the bank's spokeswoman told Reuters that Berro had resigned, with Al Hilal's executive vice president of wholesale banking, Sarie Ahmed Arar, assuming the role of acting CEO. The bank's spokeswoman mistakenly informed Reuters that Berro had resigned, the statement said without elaborating.