IslamicFinance.de

Turkish lender Türkiye Finans plans to issue both lira and foreign currency-denominated sukuk in 2014, according to Chief Executive Derya Gürerk. The lender, majority owned by Saudi Arabia’s National Commercial Bank, issued a $500 million sukuk earlier this year. The move reflects Turkey’s growing Islamic finance industry as the government promotes a wider range of Islamic finance products. The country now has 50 banks, four of which are Islamic: Al Baraka Turk, Bank Asya, Türkiye Finans and Kuveyt Türk, 62 percent owned by Kuwait Finance House. These banks have seen their assets grow six-fold over the last decade as their combined branch network has more than tripled.

Earlier this year, the Istanbul Stock Exchange issued an index of Sharia compliant banks and companies. That attracted the media very much.
It has been made clear that these banks do not charge interest, or “riba”, because it is forbidden according to Islamic law. The way that these banks operate remains unknown.
Four participation banks are currently operational in Turkey: al Baraka, Bank Asya, Kuveyt Türk, and Türkiye Finans. These banks offer a wide range of services, including savings and checking accounts, house and automobile financing, and even Islamic bonds.