IslamicFinance.de

The Board of Gatehouse Bank has announced its expansion in South East Asia to cement its growing operations and to ensure its proximity with its key clients, regulators and stakeholders in the region. This follows on from the £165 million acquisition of the law firm SJ Berwin’s offices in London, in collaboration with a Malaysian Sovereign Wealth fund in September 2012. Richard Thomas OBE, will relinquish his current responsibilities as Chief Executive Officer and will take over a new role with the Bank to spearhead this SE Asia business expansion and operations. Mr Fahed Boodai, Chairman has been appointed as interim Chief Executive Officer.

Standard & Poor's Ratings Services said that it has assigned its 'A-1' rating to International Islamic Liquidity Management 2 SA's US$500 million Islamic finance program. The vehicle has been established with the sole purpose of purchasing sovereign, sovereign-linked or supranational sukuk assets with long-term ratings that correspond to an 'A-1' rating. In addition, the vehicle is to issue short-term Sharia-compliant certificates with maturity profiles of less than one year. IILM will act as the program administrator of the vehicle.

Dubai-based GFH Capital, owners of English football club Leeds United, have confirmed the appointment of Brian McDermott as the club's new manager with immediate effect. McDermott has agreed a three-year contract and will be joined by Nigel Gibbs as his assistant. The pairing previously worked together at Reading, where McDermott won promotion to the Premier League last season. McDermott brings with him the experience of having clinched promotion from the Championship last season when he guided Reading to the Premier League.

Simply Sharia Human Capital (SSHC) is now offering the Islamic Finance Qualification (IFQ) in collaboration with the Shariyah Review Bureau (SRB). The SRB-SSHC partnership will deliver the internationally recognised and UK-certified IFQ across the Gulf region. The IFQ is accredited by the Chartered Institute for Securities and Investments (CISI), equipping candidates with a practical understanding of Islamic finance principles, products and models of business. The qualification will prepare candidates with knowledge of Islamic finance including Sukuk, Takaful, Mudaraba, Musharaka and Murabaha as well as offer an insight into the influence of Shari'ah in a business context.

In response to the exponential growth of Islamic Banking as a field, Woodbridge University has introduced its MBA program in Islamic Banking. The program is designed to equip executives with the specialist knowledge required for professional development in the international finance sector. It follows many of the same core modules as the Banking and Finance MBA, but also includes specialist modules in Islamic Banking and Finance. The MBA Program has attracted over 1,500 new students so far.

The Islamic Development Bank (IDB) will set up its country office in Dhaka, Bangladesh soon, according to its President Ahmad Mohamed Ali Al-Madani. Foreign Minister of Bangladesh, Dipu Moni, expressed satisfaction at the progress made with the Member Country Partnership Strategy (MCPS) for 2013-16 covering a number of important infrastructural, agricultural and human development projects. She also hoped that IDB would support several projects in the country. The IDB President assured of growing cooperation in power generation, including rural electrification and renewable energy use. He also shared his optimism about Bangladesh’s development pursuits to become a middle income country by 2021.

According to the Governor of the Central Bank, Mallam Sanusi Lamido Sanusi, banks in Nigeria will be required to appoint at least 30 per cent female board members and 40 per cent management staff by 2014. The decision was taken with a view to stimulating women's participation in development and nation building. He added that this year every bank must publish its gender positions, when they publish their statement of accounts. The Central Bank will not be exempted from this. Moreover, Mallam Sanusi lamented the high rate of school drop-outs in the North where over 70 per cent of girls cannot read.

The Kerala State Industrial Development Corporation (KSIDC) has partnered with Cheraman Financial Services Limited, a Kochi-based Islamic fund. KSIDC has 11 per cent share in the Rs. 250 crore fund which is a shariah-based entity aimed at funding selected sectors. Cheraman is the new avatar of the Al Baraka fund proposed by KSIDC two years ago. Cheraman has received the go-ahead from the Securities and Exchange Board of India (SEBI) and has been registered as a trust, despite the Reserve Bank of India stating that the Banking Regulation Act did not permit Islamic banking in the country.

Investors labelled a $500m sukuk from Sharjah Islamic Bank this week as exceptionally tight, but the deal nonetheless drew $3.2bn of orders on Tuesday. The sukuk priced inside the initial guidance range, ending up with a profit rate of 2.95% after the leads mooted low 3% on Monday.

The main suspect wanted in connection with a brazen daylight robbery of more than US$10 million (Dh36.7m) from Syrian International Bank for Trade and Finance (IBTF) has been held for questioning in Egypt. In January, $3.4m in cash, €4.75m (Dh22.8m) and 33m Syrian pounds (Dh1.7m) was allegedly stolen from the vault of the IBTF in Damascus. The bank learnt that the suspect fled Damascus to Egypt immediately after allegedly committing the crime. The suspect was arrested last month, upon the discovery by Cairo authorities that his passport was fraudulent. The bank has hired a lawyer to expedite the extradition of the suspect from Egypt.

Kuwait Finance House (KFH) organized in collaboration with the Islamic Finance Club at Gulf University for Science and Technology a scientific trip for a delegation of the university students to the United Kingdom. The trip that lasted for 7 days aimed to develop scientific knowledge in Islamic finance and increase awareness of the latest development of this industry. 17 students from various majors of the university participated in this trip. Moreover KFH organized, on the sidelines of the visit, a lecture on the principles of Islamic economy and its impacts on the lives of communities.

In 2012, Burj Bank’s deposit base grew from Rs.20 billion to Rs.36 billion reflecting a deposit growth of 77pc whereas the total assets grew from Rs.27.6b to Rs.47b reflecting 70pc growth during the year. During the year, the Bank launched and established several products and services such as Carsaaz Auto financing, Home Musharaka, Investment Banking, Islamic Debit MasterCard and an efficient internet banking platform. Morover, the Bank has grown its nationwide branches from 50 to 75.

Banks in the United Kingdom and the United States are not accepting transactions made through the Islami Bank Bangladesh Limited after allegations surfaced about its alleged funding of militant groups across the globe. The matter came to light when a team of the Bangladesh Garment Manufacturers and Exporters Association (BGMEA) met the central bank Governor. According to BGMEA, banks in the United Kingdom and the United States are not accepting export bills and documents through the Islami Bank Bangladesh. Apparel sector’s apex body has requested Bangladesh Bank Governor Atiur Rahman to resolve the issue, saying many of its members were facing troubles. The bank posted a clarification on its website and denied the charges.

The Financial Services Act (FSA) and Islamic Financial Services Act (IFSA) which are expected to come into force by the middle of this year, would require composite insurers and takaful players to split their life and general insurance businesses under separate licences. Takaful Malaysia group managing director Datuk Mohamed Hassan Kamil said the Act would have an impact not only on talent hiring but also on retaining the existing talent, and would lead to staff pinching, resulting in higher wages but little improvement in productivity and efficiency. According to analysts, the impact would be felt more by takaful operators due to the higher number of composite or dual licences issued to them compared with conventional insurers.

Dubai Islamic Bank Pakistan Limited has reported a year end profit before tax of Rs501 million. Furthermore, a 38 per cent deposit growth was achieved in comparison to 2011, taking total deposits to Rs53.11 billion in 2012. DIBPL’s asset base rose by 32% in contrast to 2011 increasing the asset base to Rs63.5 billion in 2012. The Bank’s investments grew substantially by 65% over the year, taking total investments to Rs21.33 billion.DIBPL opened 25 new branches in 2012, increasing the total branch network to 100 in 35 cities. The Bank added over 20,000 more customers in 2012, taking full customer base to over 100,000.

Announcing its interim consolidated financial results ended March 31, 2013, Al-Rajhi Bank stated that its net profit during the first quarter is SR 2.05 billion, representing an increase of 2 percent compared with the corresponding quarter of previous year. Total operating income for Q1 is SR 3.53 billion compared to SR 3.43 billion for the corresponding quarter of previous year, representing an increase of 3 percent. Net profit from financing and investments increased by 3.5 percent. Earning per share for the three months is SR 1.37 compared to SR 1.34 for the same period of previous year. The reason for the rise in profits in the current quarter compared with the same period of previous year is due to higher income from operation income.

Jaiz Bank Plc has announced the appointment of the General Manager in charge of the Bank’s Business Development Group, Hassan Usman as the Acting Managing Director. Hassan is a trained Chartered Accountant and a seasoned Banker with international experience. The appointment follows the resignation of the Managing Director, Muhammed Mustapha Bintube after almost 10 years of service. Jaiz commenced operations on the January 6, 2012, in three locations, Abuja, Kano and Kaduna with additional branches opening soon in Maiduguri, Gombe and Katsina.

The company owning the "Chaichana Halal" beef-noodle franchise has filed a lawsuit against Islamic Bank of Thailand manager Thanin Angsuwarangsi at Bangkok's Ratchadapisek Criminal Court yesterday. This was after the manager allegedly failed to approve loans for its franchisees, despite signing a previous MoU agreeing to loan cash to 50,000 franchise applicants over five years. Chana Rattanapakdi, executive of Tha Pisut International that owns the franchise business, accused Thanin of abusing his authority and causing damage to others according to the Criminal Code's Article 157. The court will hear the case on July 15 at 1.30pm.

Qatar is set to become a "key international distribution hub" for Shariah-compliant products. While infrastructure projects will feed new alternative fund structures and boost public-private partnerships, Qatar also has a long-term interest in developing as a centre for Islamic finance, The position of Islamic finance in Qatar, according to Mena Asset Management Barometer, bodes well for the future, as demand for Shariah-compliant products grows. Qatar is ranked first in Mena and the second globally in terms of opportunities for infrastructure investments. The country has outlined public investment plans worth $95bn over five years to 2016, as it prepares to host the 2022 World Cup.

Kuwaiti aircraft leasing company Alafco has hired Deutsche Bank to advise it on a potential sale of global depositary receipts (GDRs) in London. The bank is looking at Alafco’s operations to ensure it is ready for the additional scrutiny that comes with a London listing. The timing of the GDR sale and the amount, if any, that a listing could raise were still unknown. Alafco made a profit of 25.6 million dinars ($89.7 million) in its last financial year ended on Sept. 30, 2012, a 45 percent decline from the previous year.