IslamicFinance.de

A report prepared KFHR Limited, a subsidiary of Kuwait Finance House (KFH), brought attention to the fact that the financing deals in compliance with the provisions of Islamic Sharia'a contributed to the growth of aviation and shipping sectors in the region.
This growth was achieved through huge financing deals concluded over the past few years and introduced benefits to these sectors.
The report, which addresses in detail the issues relevant to Islamic finance industry, aviation and shipping, explains that the aviation sector which is seeing strong growth in demand since it emerged from the rescission crisis in 2003 to reach a peak demand in 2007, seems to poise for further recovery given several key factors to support this fact. This level is therefore supported by: (i) rapid development of aviation sector in emerging markets; (ii) booming of low-cost carriers; and (iii) replacement of less efficient aircraft. The overall volume of deals compliant with the provisions of Islamic Sharia'a reached during the period from August 2006 to August 2010, $1.882bn through various structures of Islamic financing.
The reports expects this situation to continue moving forward, given the improvement of trade activities globally, the growth of Asian economies, as well as increase in World Trade volume, which in turn, will create additional demand for financing prospects of the industry, particularly finance Islamic Sharia'a compliant.