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Global Islamic finance assets had an estimated value of $1.8 trillion in 2014 and are expected to almost double by 2020 to reach $3.2 trillion, according to the ICD Thomson Reuters Islamic Finance Development Indicator.

The projections come ahead of the 2015 World Islamic Banking Conference (WIBC 2015), which will be hosted by Thomson Reuters, the world's leading provider of intelligent information for businesses and professionals, and The Islamic Research and Training Institute (IRTI), an affiliate of the Islamic Development Bank Group.

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 General Council for Islamic Banks and Financial Institutions (CIBAFI) held an In-focus session on Basel III and Islamic banks during the 21st World Islamic Banking Conference (WIBC) in Bahrain. The three prominent Islamic banks, Islamic International Arab Bank, Al Baraka Banking Group, and Bank of Khartoum, showed that they currently have sufficient levels of capital, far beyond what is required under Basel III. Al Baraka Banking Group's recent issuance of Tier-1 Basel III-compliant Sukuk in Pakistan reflects the Group's desire to adapt positively to the dynamic nature of regulatory regimes in the years ahead rather than any shortage of capital.

The Bank of Karthoum will add 12 new retail branches and cash points, mainly in eastern and central Sudan, bringing the total number to 75 by next year and has steadily expanded its business in Africa. Its main shareholders, Dubai Islamic Bank, Sharjah Islamic Bank and Abu Dhabi Islamic Bank, are more than tripling the capital. In a second expansion step, the bank will launch several dedicated funds for private firms to finance the export of livestock and agricultural products such as sesame seeds to Gulf Arab countries, Jordan and Egypt. Faced with the loss of most oil reserves to South Sudan, Sudan is trying to boost exports of gold and farming exports such as cotton, cash crops or gum arabic from its vast farmlands.

Dubai Islamic Bank, Sharjah Islamic Bank and Abu Dhabi Islamic Bank are more than tripling Bank of Khartoum’s capital to around $225 million after it gained a short-term ‘A-1’ rating from The Islamic International Rating Agency last week. Bank of Khartoum’s General Manager Fadi Faqih said its bank wants to boost its agricultural finance business by preparing a fund to attract direct investment from mainly Gulf banks to invest into Sudan's agricultural sector. Bank of Khartoum also plans to arrange Sukuk for corporate clients in the infrastructure and utility sector for some 150 million pounds this year.

The Islamic International Rating Agency (IIRA) has assigned a national scale long-term credit rating of 'AA-' (Double A Minus) to Bank of Khartoum (BOK) with a short-term rating of 'A-1' (A One). The 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. BOK is the first financial institution to have been rated in Sudan.

According to Bank of Khartoum's plans, the bank will increase its capital more than three times with the help of an expansion in the resource-rich country enabled by its Gulf investors. The investors are certain that peace with South Sudan will be maintained. Due to wars, poverty and a decade-long conflict with South Sudan, Sudan could not make use of the possible large-scale foreign investments so far. The U.S. sanctions against Sudan in place over its human rights record since 1997 have had an enormous effect. Since the agreement to end hostilities in September, Gulf Arab investors look more positively on Sudan.

Bank of Khartoum's plans include selling Islamic corporate bonds since after an oil deal with South Sudan the economic outlook for Sudan becomes better. This year's profit of the bank is expected to reach record amounts due to strong lending and a substantial windfall from the devaluation of the Sudanese pound. Several sukuks have already been started. According to the bank's general manager, issues worth $100 million in bonds for local companies are a realistic is a realistic goal to be achieved by early 2013.

Read more on: http://english.ahram.org.eg/NewsContent/3/12/56460/Business/Economy/Suda...