How Islamic Finance could Plug the UK Investment Gap

Source: PK Observer

  • ONE of the fastest expanding financial services sectors globally is Islamic finance, which has consistently shown growth rates of around 10 to 12 per cent annually over the last two decades and has assets of around £2.5 trillion. Outside the Middle East and Asia, the UK is the leading hub for the sector and was the first non-Muslim majority country to issue a sovereign Islamic bond, known as sukuk, of £200 million in 2014...

Spreading Islamic Banking in Uganda, One Sermon at a Time

Source: Bloomberg

  • Whether speaking from the pulpit in Kampala or at social functions, the 59-year-old has become Uganda’s most ardent promoter of Islamic banking, a practice the nation is set to follow neighbors Kenya and Tanzania in adopting after years of debate. And though Kasozi perceives a religious obligation, others see a chance to expand finance in the East African country where only 40 percent of 19 million potential....

Islamic Finance Body IFSB Throws Down Gauntlet on Sukuk

Source: Reuters

  • The Islamic Financial Services Board (IFSB) has proposed a new standard covering the regulation of sharia-compliant capital market products, posing a challenge for regulators, issuers and intermediaries working on Islamic bonds, or sukuk. The exposure draft from the IFSB, one of the main standard-setting bodies in Islamic finance, represents the most detailed effort to rein in claims of sharia non-compliance and clarify resolution of disputes in sukuk deals....

Spreading the Word of Islamic Finance

Source: Raconteur

  • The UK is the leading Western centre for Islamic finance and has good growth prospects. Over twenty UK banks offer Islamic finance services, which is more than double the number in the United States and far ahead of other Western countries. Five of these twenty are fully fledged Islamic banks, operating in compliance with the Islamic law, known as Sharia.....

Banking with Faith

Source: Dawn Aroura

  • The promise and potential of Islamic banking in Pakistan has never been underestimated. It was in 2008 that the State Bank of Pakistan (SBP) announced the first five-year strategic plan for the industry, popularly known as ‘12 by 12’. The plan outlined initiatives aimed at enabling the industry to achieve a 12% share in the overall banking industry by 2012, with agriculture, SMEs and microfinance expected to be the main drivers. The plan focused on five areas, which included....

World Finance Islamic Finance Awards 2018

Source: World Finance

  • Heading into 2017, expectations surrounding the global economy were bleak. The fear was that the surprise political outcomes in the US and UK would send markets on a path fraught with unpredictable fluctuations. Ironically, the one thing that no one predicted occurred: relative stability. With much of the world’s focus on the US and UK, significant results in Islamic finance were critically overlooked by many. Total sukuk issuance....

5th African Islamic Finance Summit to be held in Tanzania

Source: Zawya

  • (CIBE) is honored to organize 5th African Islamic Finance Summit in Tanzania. The event is successfully held for many years in Tanzania for the betterment of the socio-economic conditions of the rural and urban areas of the country. It will be held at Hyatt Regency – The Kilimanjaro, Dar-es-Salaam, Tanzania on 17th and 18th April 2018. The summit will be followed by Post Event Workshops on Islamic Insurance and Islamic Microfinance on 19th and 20th April 2018....

Islamic Finance Facility to Support Omani Trade

Source: GT Review

  • Strategic & Precious Metals Processing (SPMP), an Omani firm and associate company of Tri-Star Resources, has raised a US$30mn sharia-compliant loan from Alizz Islamic Bank to be used for a combination of project and trade finance purposes. The new finance facility will rank alongside the company’s existing debt provided by Bank Nizwa, bringing SPMP’s total debt facility to US$70mn. Tri-Star holds a 40% equity interest in SPMP.....

Islamic Finance Growth Means New Opportunities for Women

Source: Raconteur

  • Islamic finance may be a nascent sector, but fast growth is leading to skills shortages that are creating career opportunities not always available for women in conventional finance. Samina Akram, managing director of London-based Islamic and ethical finance consultancy Samak Consultants, explains: “One of the major challenges the industry faces is a shortage of adequately trained talent...

Spearheading Innovation in Islamic Banking

Source: The Dawn News

  • What prompted Habib Bank Limited (HBL) to launch their Islamic Banking operations, when full-fledged Islamic banks are already present in the market? ZAHID PAREKH: HBL is the largest bank in Pakistan and has a nationwide presence of over 1,700 branches. As soon as Islamic banks began to establish a foothold in Pakistan, the majority of our 10 million plus customers expressed an interest.....

International Islamic Financial Market (IIFM) and World Gold Council Collaborate

Source: Mondo Vision

  • The meeting assessed current market practices with respect to identified gold related documentation and products. Deliberations were aimed to inform and obtain input from key stakeholders including regulators, financial institutions, law firms, exchanges, industry associations and Shari’ah scholars on standardised product documentation through a series of discussions including: the use of the Allocated Gold Agreements....

Kuwait to Host Global Conference on Islamic Finance

Source: Asharq al Awsat

  • The Central Bank of Kuwait (CBK) and the Islamic Financial Services Board (IFSB) have announced holding a global conference on Islamic finance on May 2 in Kuwait. The conference, follows the earlier 'Islamic Finance: Meeting Global Aspirations' conference, which was co-organized by CBK and the International Monetary Fund (IMF) in November 2015. This year’s conference will shed light on the importance of Islamic finance to sustainable and inclusive growth. It will focus on Islamic finance "major appeal" as a tool for "inclusiveness....

Toward A Global Islamic Finance Standard

Source: GF Magazine

  • The AAOIFI has hundreds of member institutions from over 45 countries. In October 2017, Saudi Arabia’s central bank, the Saudi Arabian Monetary Agency, joined AAOIFI. Its standards are widely used in the industry and are compulsory in some countries such as Bahrain and Oman. To homogenize industry practices, in 2017 the AAOIFI adopted guidelines for centralised Shariah boards and new standards for gold-based products. In 2018, the AAOIFI....

Five Key Factors Driving Islamic Finance Growth

Source: Pak Observer

  • Islamic economy has registered remarkable progress, its markets have expanded, products increased and its culture broadened. More specifically, global Islamic finance assets increased from $2 trillion in 2016 to $2.6 trillion in 2017, according to a study by PwC. All of this is good news indeed. But we do have much ground to cover. The immediate priority that we need to acknowledge is the fact that we still lack appropriate ....

London has Potential to Lead in Islamic Finance

Source: The National Business

  • London has a huge opportunity to lead in Islamic finance and in the sukuk market, the president of the Islamic Development Bank said. “We have a real opportunity to recognise the potential of Islamic finance here in the UK,” Dr Bandar Hajjar said in a speech at the Sukuk Summit at the London Stock Exchange. “Both the UK government and the IDB are actively promoting this objective.”....

Financial Inclusion Strategy

Source: Tech Zim

  • (RBZ) introduced the Financial Inclusion Strategy with the obvious aim of drawing a marginalized number of people who are unbanked into the financial system. The Strategy is highlighted by an ambitious plan to increase the banking population from 30% at the time it was implemented to at least 90% by 2020. The affirmative action targets groups such as Micro, Small and Medium-sized Enterprises (MSMEs), women, youth....

Islamic Financing Rises 9.4pc to RM605.5b in 2017

Source: Malay Mail

  • Malaysia’s Islamic financing grew by 9.4 per cent to RM605.5 billion in 2017 compared with a 11.8 per cent increase in 2016 amid a moderate growth of 1.3 per cent in conventional loans, said Bank Negara Malaysia (BNM) In its Financial Stability and Payment Systems Report 2017 released today, the central bank said Islamic financing of businesses sustained its positive growth of 7.8 per cent and was channelled mainly to the finance....

UAE Bankers see “huge demand” for Islamic Trade Finance

Source: GT Review

  • The Islamic finance sector will continue to show strong growth in 2018, according to a new Moody’s report, with trade finance bankers pointing to their sector as an area with huge growth potential. In its recent in-depth sector report, the credit rating agency predicts that Islamic financing assets will grow at 7% this year, thus continuing to outpace conventional counterparts. This will leave....

Bank of England to Offer Islamic Liquidity Tool more Widely

Source: Reuters

  • The Bank of England plans to offer a proposed sharia-compliant liquidity tool to a wider range of financial institutions beyond Islamic banks to boost demand, a senior official said on Monday. London has long sought to position itself as a global hub for Islamic finance, aiming to attract business from core centres in the Middle East and Southeast Asia. The central bank has been working on a fund-based deposit model that would help Islamic lenders meet regulatory requirements for liquid asset buffers....

Australia Islamic Finance Blooms Under the Radar

Source: Gulf Times

  • The Australian flag flies outside the Reserve Bank of Australia headquarters in Sydney. Australia has a substantial number of Islamic finance service providers which offer a broad scope of Shariah-compliant finance products ranging from house financing, Islamic pensions, wealth management to halal superannuation funds and takaful. While Islamic finance centres in Southeast Asia and the Middle East keep dominating core developments in the sector, and....

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