Islamic Finance. Global Outlook and a European Perspective. Anouar Hassoune, Managing Partner. Luxembourg. 4 March 2016
|
|
- Thomas Butler
- 5 years ago
- Views:
Transcription
1 Islamic Finance Global Outlook and a European Perspective Anouar Hassoune, Managing Partner Luxembourg 4 March 2016
2 Introduction 1. Ethics 2. Growth 3. Stakes 4. Limitations «There has never been a prettier marriage to date than that of knowledge and patience» Prophet Muhammad (PBUH)
3 1. ETHICS
4 1. Islamic finance is a compartment ethical economics Morals and ethics These terms are no substitutes to each other. Let us ask Emmanuel Kant Question Scope Book What must I do? Morals The Critique of Practical Reason What can I know? Epistemology/arts The Critique of Judgement What am I allowed to hope for? Metaphysics The Critique of Pure Reason Morals answer the question «What must I do?». Ethics is the why of morals, their reason, their cause.
5 1. Islamic finance is a compartment ethical economics Let s explore the morals and ethics of Islamic finance SCOPE MORALS ETHICS Question What must I do? Why I must do it? Level Principles Values Content Prescriptive, normative Axiological Etymology/root Rome Athens Mode Acting Thinking Ethics precede morals. Morals must be legitimate. For this to happen, underlying values must pretend to be universalized.
6 1. Islamic finance is a compartment ethical economics Conviction Vs. Responsibility Such values, and the principles derived from them, are the prerequisite of trust: in Arabic, trust is translated as amanah, which shares the same root as imân (faith) as in Latin, fides means both trust and faith. Since Max Weber (The Protestant Ethic and the Spirit of Capitalism, 1905), one traditionally opposes: The ethics of responsibility: the necessity to rationally take into consideration the possible effects of one s acts in the fact of acting; and The ethics of conviction: which justifies and legitimates action by one s faith in beliefs supposed to be true ex ante and a priori. Islamic finance reconciles both approaches: conviction is the underlying element of values (ethics); whereas responsibility feeds its principles (morals).
7 1. Islamic finance is a principles-based finance Principles: the 5 pillars of financial Islam Riba: interest, usury Maysir: speculation, randomness, game of chance Gharar: excessive contractual uncertainty Banned sectors: alcohol, weapons, tobacco... Sources of Islamic law Coran (the Holy Book) Sunna (sayings and deeds of the Prophet) Ijma (consensus of Scholars) Asset-backing: any financial transaction must be backed by a real, tangible asset Profit and loss sharing: profits and losses from an economic activity must be shared between stakeholders Qiyas (analogy and balance) Ijtihad (rational intellectual effort) Page 6
8 1. Islamic finance is a values-based finance Ethics: the axioms of Islamic finance Value Object Axiom Reality Money Money is just a measure of value, but it does not have value per se. The real economy is the primary focus; notional inflation is not desirable. Responsibility Debt Debt is a sacred liability; it constitutes a responsibility and is not to be traded. Excessive indebtedness is discouraged. Co-ownership Regency on the world Human beings are not the masters, owners and commanders of Nature; they are only its regents. Equitability Social justice Participation finance, based on equity and mutualism, is encouraged; neither speculation, nor hoarding can be acceptable/permissible. Sequentiality Production and trade Production precedes trade: one cannot sale what he/she does not own. To serve the real economy Not to be served by it
9 Page 8 1. Islamic finance is a contract-based finance Name Summary Description Considerations Ijara Istisna a Murabaha Commodity Murabaha Musharaka Mudaraba An Islamic lease. An investor purchases an asset and leases it to the borrower for fixed monthly payments Variations include head-lease / sub-lease structure and usufruct Includes an obligation for the lessee to buy the asset at the end of the lease Specifically relates to construction and manufacturing (the asset to be financed not being in existence) The investor finances the work or construction in progress and then sells it to the borrower, payable in installments The sale of an asset on a cost-plus basis with a mark-up agreed by both parties added to the original cost price The investors purchase an asset from a third party and sells it to borrower on a deferred payment basis Popular for providing trade financing Investors appoint an agent to purchase a commodity from a commodity seller, which is sold onto to the borrower at the price + a mark-up on a deferred payment basis. The borrower then sells the commodity on the same day to a third-party vendor (to raise capital) and pays back investors at the pre-agreed mark-up on the agreed deferred payment date A contract where the borrower and investor invest capital to a joint venture, with both parties sharing risk and reward Profits can be allocated in any pre-agreed ratio, and losses are borne in proportion to capital invested A form of joint venture where one or more parties provide capital and other parties contribute their expertise with profit sharing agreed in advance The investors bears all losses if any, unless caused by negligence or violation of the terms of the contract Most widely accepted structured Requires the transfer of the beneficiary ownership of the underlying asset Tradable at secondary market levels Most Suitable for a Sukuk Debt-like instrument, tradable at par only When used with an Ijara can be tradable at secondary market levels, and suitable for a Sukuk Need of an asset to develop The underlying asset doesn t need to be a fixed tangible asset (commodities, oil, minerals, etc.) Debt-like instrument, tradable at par only Most suitable for short-term syndicated facilities Least favored structure by Sharia'a scholars No need for underlying asset, but use of proceeds has to be Sharia'a-compliant Debt-like instrument, tradable at par only Most suitable for short-term syndicated facilities Associated with equity-like risk by some investor Most suitable for project finance Associated with equity-like risk by some investor Most suitable for project finance
10 2. GROWTH
11 Page Islamic finance is fast-growing industry Growth of global Islamic financial assets ($bn) Composition of global Islamic financial assets Conventional CAGR = 2.8% over the same period of time 80% = banking assets: the industry is not disintermediated enough 1% = takaful: Islamic insurance is much underdeveloped 72% in the Middle East, 23% in Asia: the industry remains geographically concentrated, around 2 hubs = the Gulf and Malaysia $2 trillion seem a lot in absolute terms: in relative terms though, it is not 1,200$ per Muslim; global financial assets stood at $294 trillion, meaning the global market share of Islamic finance was only 0.71% at YE2014. Conclusion: there is still a long and tedious way to go Global Islamic financial assets grew 17% per annum, on average, between 2007 and 2014, to reach $2 trillion at year-end 2014 Sources: The Banker, IFSB, Zawya
12 Page Sukuk: the Islamic bond market is dynamic, but does not function in isolation If historical trends were prolonged, sukuk issuances and outstanding sukuk amounts should be 3 times larger than what they are today But sukuk do not function in isolation: no man is an island, and credit risk has no religion
13 2. Sukuk investors: who are they? Sukuk investor base: truly a global community The sukuk asset class allows for a better diversification of funding sources The investor community includes a wide scope of accounts, i.e. conventional fixedincome buyers AND Islamic investors Such aggregation represents an enlarged pool of demand and tends to create pricing tension at the time sukuk are issued US Entirely conventional investors Increasingly looking at Sukuk asset class Middle East Europe Predominantly conventional, familiar with Sukuk asset class Many conventional investor interest for Sukuk given supporting markets Some Islamic banks and Sukuk funds Retail demand from GCC accounts in Swiss private banks Largest market for Sukuk, dominated by bank investors Some two-thirds of worldwide Sharia'a compliant assets Islamic investors represent an estimated third of the investor pool Conventional investors prefer Sukuk with additional capacity available Asia Second largest Islamic market Mostly dominated by Malaysian investors, but growing in Singapore and Indonesia Conventional investors, extremely familiar with Sukuk asset class Many conventional investor interest for Sukuk given supporting markets Significant Islamic funds managed out of Singapore and Hong Kong
14 Page Islamic finance and its territories: international, yes global, no UK Turkey Kazakhstan South Korea Japan Hong Kong Sukuk legislation passed Treasury considering short-term benchmark issuance Sukuk legislation passed First corporate issue completed Sukuk legislation passed Looking to complete debut Sovereign issue Regulators keen to promote Islamic products Draft Sukuk law submitted to national assembly for review Bill submitted to parliament to allow issuance and trading JBIC considering quasisovereign issuance Announced plans to issue sovereign Sukuk Wants to establish a large and liquid secondary market Germany Thailand In 2004, the Federal state of Saxony-Anhalt became the first European Sukuk issuer Considering Sukuk issue to tap into GCC liquidity France Malaysia Keen for development of Islamic finance Looking at draft legislation to allow Sukuk issuance Several sovereign issues Invested in large secondary markets and knowledge centres Tax benefits for Sukuk Egypt Singapore Sukuk legislation passed Considering debut Sovereign issue Sukuk legislation passed Sovereign Sukuk issuance Bahrain Jordan UAE Saudi Arabia Pakistan Indonesia Sovereign and quasisovereign issuance Established one of the largest secondary markets for Sukuk Ministry examining options for Sukuk issuance Large issuances by sovereign, quasisovereign and corporate institutions Wants to be global centre Announced plans to issue sovereign Sukuk International and local sovereign Sukuk issaunce Central Bank established a dedicated Islamic Banking unit Extensive tax and legal reforms Sovereign Sukuk issuance
15 Page Islamic banking intermediation: core QISMUT vs. frontier EMEIA Core Markets QISMUT : Qatar, Indonesia, Saudi Arabia, Malaysia, United Arab Emirates, Turkey Frontier Markets- EMEIA: Europe (including Russia), Maghreb countries, Egypt, Iran, Africa
16 3. STAKES
17 Page Credibility: based on its principles, the Islamic financial industry has come of age Measure of success profitability High The Islamic financial industry is at a critical step within its development cycle Rapid growth Maturity Decline Medium Take-off Innovation Core demand Low xx Development cycle of the Islamic financial industry $10 bn $20 bn $350 bn $140 bn
18 3. Institutionalization of Islamic finance: the trend goes unabated Page 17
19 Page European stakes: the continent is more mature, but Islamic finance remains embryonic France: uncoordinated and isolated initiatives. No inprinciple objection, but only a pure player can succeed. Belgium and the Netherlands: very shy supply. A French or Luxembourgish entrant is the only one capable of boosting both markets. Luxembourg: a special case. Active and ambitious, ordered and patient. The European solution is likely there. Germany: a Turkish lab. Supply is restrictive and shy. Ultraniche market... for the moment Southern Europe: peripheral; nothing material is happening there. UK: well equipped, if not already saturated.
20 3. Focus: Luxembourg has made its position very clear Page 17
21 3. with a well-designed action plan Page 17
22 4. LIMITATIONS
23 Page Several limitations are undoubtedly constraining the industry s evolution Too much banking, not enough disintermediation Islamic asset management is far underdeveloped ($64 bn at YE2014) Takaful has not picked up yet($20 bn collected premiums in 2014) Sukuk: a resounding success, but sovereigns and local currencies still dominate the ballgame Liquidity management is a continuous challenge for Islamic financial institutions Yesterday the industry was driven by supply, today it is driven by demand: are services up to the challenge of quality, price-competitiveness and comprehensiveness? Innovation capabilities are weak Islamic investment banking is lagging behind Rather a collection fragmented domestic markets; not an integrated regional/global market Legal uncertainties when it comes to Shari ah interpretation remain Not enough Shari ah scholars; not enough experts Is Islamic finance green enough?
24 Page Some heavy trends are forcing the industry s evolution Human capital Innovation
25 Page From industrialization to behavioral change Regulators will have to adapt Build regulations that empower Islamic finance Help emerge an ecosystem that ensures equitable competition Strengthening impact on the real economy and society at large The initial phase of the industry was focused on debt instruments in the perspective of replication Equity instruments must now be fostered in order to set foot internationally Attract human capital The industry needs new talents to engage in to a new wave of creativity The industry must, in a proactive manner, institutionalize training Engagement and sponsoring Enhance academic research in order to better define its prospective vision and direction Regulators, practitioners and scholars must better coordinate their efforts Support Islamic financial institutions expansion Current players tend to have a limited scope, but have started to discover new frontiers Cross border ties and the interconnection of business lines are definitely a strength The industry s industrialization will to a large extent depend on better coordination
26 ABOUT THE SPEAKER
27 26 ANOUAR HASSOUNE Managing Partner of Euris Group Anouar Hassoune is currently the Managing Partner of Euris Group s Advisory practice, focusing on tailoring Islamic financial solutions to clients. A university professor in Islamic finance, entrepreneur, former banker, Anouar also sits on several companies boards. Anouar used to be the Head of Research and Strategist for MENA at The Bank of Tokyo- Mitsubishi UFJ, and the driving force behind BTMU s Islamic Window. Prior to that, Anouar used to be a Vice President & Senior Credit Officer for Moody s Investors Service, one of the leading rating agencies globally. Before this position, he used to be a credit analyst at another wellknown rating agency, namely Standard & Poor s. For both rating agencies, Anouar was responsible for the rating coverage of banks in the Middle East and North Africa, and served as global head of Islamic finance. Anouar is also one of the Managing Partners of Emerging Markets Ratings Ltd. (United Arab Emirates) and West Africa Rating Agency (Senegal). His academic background includes a master s degree in Business Administration from Paris-based HEC Business School, a master s degree in Political Science from the Paris Institute for Political Studies (Sciences Po Paris), a post-graduate degree in Economics from the University of Paris 1, as well as the Agrégation certification in Business and Finance earned at the French Ecole Normale Supérieure. He teaches Islamic finance and applied economics within various leading Universities and Business Schools in France, including HEC and the University Paris Dauphine. anouar.hassoune@euris-group.com Visit:
An Overview of Sukuk and its Application In Global Fixed Income Markets
An Overview of Sukuk and its Application In Global Fixed Income Markets Sukuk, commonly known as Islamic bonds, are a recent entry to the world of finance. (Sukuk were used extensively in the Middle Ages,
More informationQ: What types of Financial Institutions and transactions are involved in Islamic finance?
Q: What is Islamic Finance Islamic finance is an interest free finance system. There is therefore, no charge for its use. Islamic finance is asset based as opposed to being currency based. A deal is structured
More informationThe Evolution of Islamic Finance
The Evolution of Islamic Finance Islamic finance lexicon/1 Ijara: leasing transaction where the purchase of the leased equipment at the end of the rental period is optional Mudaraba: form of financial
More informationNon-Interest Finance & Debt Capital Market An Overview. 28 October 2015
Non-Interest Finance & Debt Capital Market An Overview 28 October 2015 Outline 1 Background Non-Interest Finance - Global Trend Understanding Non-Interest Finance Non Interest Finance - Nigeria Non Interest
More informationSUKUK Islamic Bonds. by Mr. Hamad Rasool.
SUKUK Islamic Bonds by Mr. Hamad Rasool 1 2 Sukuk is the Arabic name for a financial certificate, Islamic alternative to conventional bonds, Sukuk is a Trust certificate in which investor returns are derived
More informationMaking Finance Work for Africa Islamic Capital Markets
Making Finance Work for Africa Islamic Capital Markets 12 June 2014 HANI IBRAHIM Head of Debt Capital Markets - QInvest Islamic Finance Market 2 Global Islamic Finance Assets Defined as a financial service
More informationIslamic Financing Products and Concepts, Current Market Trends and Opportunities. Nadim Khan, Partner, Herbert Smith LLP July 2010
Islamic Financing Products and Concepts, Current Market Trends and Opportunities Nadim Khan, Partner, Herbert Smith LLP July 2010 1 Overview Introduction to Islamic Finance The Key Products The Compliance
More informationAttendance at the Singapore Due Diligence 2012 is strictly by invitation only. The content of this presentation is intended solely for invited guests
should not be reproduced or distributed to persons other than the invited guests. Overview of Islamic Finance Hanifah Hashim Head of Fixed Income (Malaysia) Franklin Templeton Investments September 26,
More informationRevisiting the Fundamentals
Islamic Financial Services Group trends and future direction Noor Ur Rahman Abid International Islamic Financial Market Board Meeting 4 February 2008 Revisiting the Fundamentals Investment avenues in conventional
More informationCOMCEC STRATEGY COMCEC FINANCIAL OUTLOOK. Cafer Biçer. 9 th Meeting of COMCEC Financial Cooperation Working Group
COMCEC FINANCIAL OUTLOOK Cafer Biçer 9 th Meeting of COMCEC Financial Cooperation Working Group October 26 th, 217 Ankara, Turkey OUTLINE Recent Global Economic and Financial Developments Financial Outlook
More informationJ. P. M O R G A N I S L A M I C F I N A N C E
Islamic Finance Overview May 2014 S T R I C T L Y P R I V A T E A N D C O N F I D E N T I A L English_General 2013 JPMorgan Chase & Co. All rights reserved. These materials herein are provided for informational
More informationCHEVALIER & SCIALES LUXEMBOURG: A HUB FOR ISLAMIC FINANCE
CHEVALIER & SCIALES LUXEMBOURG: A HUB FOR ISLAMIC FINANCE client memorandum banking & finance summary Well established as a world leader in the investment funds industry (second only to the USA), Luxembourg
More informationDeloitte A Middle East Point of View - Fall 2016 Islamic Finance
16 Islamic megabank The redeemer? 17 Liquidity instruments available to Islamic Banks are few, with many lacking universal Sharia approval across jurisdictions. As a result, IFIs face greater difficulty
More informationAnalysis of the Sukuk Market. Dubai, April 25, 2007
Analysis of the Sukuk Market Dubai, April 25, 2007 Overview Introduction What is a Sukuk? Types of Sukuk Composition of the Sukuk Market Breakdown of the Sukuk Market Expected Growth of the Sukuk Market
More informationZeti Akhtar Aziz: Islamic finance a global growth opportunity amidst a challenging environment
Zeti Akhtar Aziz: Islamic finance a global growth opportunity amidst a challenging environment Keynote address by Dr Zeti Akhtar Aziz, Governor of the Central Bank of Malaysia, at the State Street Islamic
More informationFactors that are important to the establishment of an Islamic Finance Industry in Australia John Masters PricewaterhouseCoopers
Factors that are important to the establishment of an Islamic Finance Industry in Australia John Masters Islamic Financial Services: What Role for Australia? MCFS Symposium, Melbourne 21 November, 2008
More informationISLAMIC FINANCE INDUSTRY OUTPERFORMS IN 2013
The global Islamic finance industry has sustained impressive double-digit growth in 2013 despite challenging global economic conditions, such as the emerging markets funds outflows in the light of tapering
More informationMANUAL MONETARY AND FINANCIAL STATISTICS MANUAL AND COMPILATION GUIDE
MANUAL MONETARY AND FINANCIAL STATISTICS MANUAL AND COMPILATION GUIDE 2015 2016 I N T E R N A T I O N A L M O N E T A R Y F U N D ANNEX 1 Islamic 4.3 Financial Institutions and Instruments 4.256 This annex
More informationAlternative financing structures for the aviation industry
Alternative financing structures for the aviation industry Gregory Man Partner and Head of Debt Capital Markets (Middle East) Norton Rose Fulbright (Middle East) LLP October 4, 2016 Agenda Introduction
More informationGlobal Sukuk Market Trends
Global Sukuk Market Trends Workshop on Developing Sukuk Markets Arab Monetary Fund World Bank Group Abu Dhabi, UAE April 19, 2015 Zamir Iqbal, PhD. The World Bank Global Islamic Finance Development Center
More informationSecuritization and Structuring Sukuk
Securitization and Structuring Sukuk Workshop on Developing Sukuk Markets Arab Monetary Fund World Bank Group Abu Dhabi, UAE April 19, 2015 Zamir Iqbal, PhD. The World Bank Global Islamic Finance Development
More informationIslamic Finance Industry: 2010 & Beyond
GIFF IFN Asia Forum 21 Islamic Finance Industry: 21 & Beyond Baljeet Kaur Grewal Managing Director & Vice Chairman KFH RESEARCH LTD 27 OCTOBER 21 CONTENT Overview of the Islamic Finance Industry Opportunities
More informationLuxembourg A prime location for Sukuk issuance
Luxembourg A prime location for issuance Contents Islamic finance in Luxembourg listed in Luxembourg 5 Structuring transactions 6 al-ijara 8 Mixed-asset 9 al-musharaka 0 al-murabaha al-istisna al-salam
More informationWealth Creation and Wealth Management in an Islamic Economy
Wealth Creation and Wealth Management in an Islamic Economy Professor Rodney Wilson IRTI Distance Learning Programme Islamic Development Bank, April 2011 Outline Material wealth, spiritual fulfilment and
More informationZeti Akhtar Aziz: Metamorphosis into an international islamic banking and financial hub
Zeti Akhtar Aziz: Metamorphosis into an international islamic banking and financial hub Special address by Dr Zeti Akhtar Aziz, Governor of the Central Bank of Malaysia, at the ASLI s World Islamic Economic
More informationCOMCEC STRATEGY COMCEC FINANCIAL OUTLOOK. Cafer Biçer. 10 th Meeting of COMCEC Financial Cooperation Working Group
COMCEC FINANCIAL OUTLOOK Cafer Biçer 1 th Meeting of COMCEC Financial Cooperation Working Group March 29 th, 218 Ankara, Turkey OUTLINE Recent Global Economic and Financial Developments Financial Outlook
More informationShariah Guidelines for Sukuk. Mufti Ismail Ebrahim Shariah Advisor Malta, October 2014
Shariah Guidelines for Sukuk Mufti Ismail Ebrahim Shariah Advisor Malta, October 2014 0 Outline of Presentation Page Credentials Mufti Ismail Ebrahim [2] Islamic Financial Services Products Mufti Ismail
More informationSwiss Passport to Islamic Finance
Swiss Passport to Islamic Finance by The Swiss Asset Management Magazine www.banco.ch No. 2 Spring - Summer 2007 Islamic Finance Survey Michael Saleh Gassner Michael Gassner Consultancy Ltd. Market segments,
More informationIslamic Finance Achievements and Prospects
Islamic Finance Achievements and Prospects Emeritus Professor Rodney Wilson Toronto University lecture, 30 th October 2014 The Second Annual Conference of Islamic Economics & Islamic Finance Venue: Chestnut
More informationThe State of the Islamic Capital Market & Future Prospects
The State of the Islamic Capital Market & Future Prospects Ijlal Alvi CEO IIFM Contents Global Market Perspective The Islamic Capital Market OIC Equity Market Malaysian Capital Markets Way Forward Future
More informationFINANCE. Islamic Finance as Social Impact Investing. Issue Brief 2013/08. Dec Andrew Sheng
Dec 2013 Issue Brief 2013/08 FINANCE Andrew Sheng The principles of Islamic finance, as defined by the Shariah, prescribe that finance must serve society and prohibit unfair and speculative activities.
More informationIslamic Capital Market Overview & Role of Sukuk
Islamic Capital Market Overview & Role of Sukuk Islamic Finance A Paradigm Shift In Africa 28th 29th March 2011 Crowne Plaza Hotel Nairobi, Kenya Ijlal Ahmed Alvi Chief Executive Officer IIFM 1) Introduction
More informationINT N RO R DU D C U T C ION N T O G LOBA B L A I SLAM A IC C F INA N N A C N E
JUNE 2010 INTRODUCTION TO GLOBAL ISLAMIC FINANCE CONTENTS Contents Section 1 Overview of the Islamic Financial Market Section 2 The Potential of Islamic Finance in Asia Section 3 Islamic Finance in Thailand
More informationIntroduction to Islamic Finance & Banking
Introduction to Islamic Finance & Banking World Bank BRSA - TKBB Joint Workshop on Innovative Product Development in Islamic Banks Istanbul, Turkey March 2, 2017 Zamir Iqbal, PhD. Lead Financial Sector
More informationISLAMIC BANKS: INTRODUCTION AND COMPARISON WITH THE CONVENTIONAL BANKS Corresponding Author: Houssam Mabrouk
International Journal of Humanities and Social Science Invention (IJHSSI) ISSN (Online): 2319 7722, ISSN (Print): 2319 7714 Volume 7 Issue 05 Ver. II May. 2018 PP.65-71 ISLAMIC BANKS: INTRODUCTION AND
More informationMOBILIZING ISLAMIC FINANCE FOR INFRASTRUCTURE PUBLIC- PRIVATE PARTNERSHIPS
MOBILIZING ISLAMIC FINANCE FOR INFRASTRUCTURE PUBLIC- PRIVATE PARTNERSHIPS REPORT 2017 OVERVIEW M uslims constitute a vast majority of the population in emerging market and developing economies (EMDE)
More information8BURSA 12 SUKUK. c ontents SUQ AL-SILA SHARI AH COMPLIANT LISTED EQUITIES. ISLAMIC REAL ESTATE INVESTMENT TRUSTS (ireits)
c ontents 8BURSA SUQ AL-SILA 10 SHARI AH COMPLIANT LISTED EQUITIES 2 THE MALAYSIA INTERNATIONAL ISLAMIC FINANCIAL CENTRE (MIFC) INITIATIVE 4 BURSA MALAYSIA 6 ISLAMIC MARKETS 12 SUKUK 14 ISLAMIC REAL ESTATE
More informationIntroduction to Islamic Investing. For professional clients only
Introduction to Islamic Investing For professional clients only 2 Overview Assets of Islamic financial institutions have grown by an average of 15% per annum* over the past five years to reach over $1trillion
More informationAN INTRODUCTION TO ISLAMIC FINANCE AND THE MALAYSIAN EXPERIENCE
AN INTRODUCTION TO ISLAMIC FINANCE AND THE MALAYSIAN EXPERIENCE by Renuka Bhupalan, Director, TAXAND MALAYSIA 1. Introduction Islamic financing is a burgeoning area in the field of banking and finance.
More informationPresentation Outline Copyright Bank Nizwa. All Rights Reserved. 2
Presentation Outline Real Economy VS Capitalism PREAMBLE Overview of Islamic Finance Section 1 Islamic Banks VS Conventional Banks Section 2 A Glimpse Into Islamic Finance Products and Services Section
More informationApproaches and Considerations for Launching Hotels in the Middle East. John Vernon Vernon Law Group, Dallas TX
Approaches and Considerations for Launching Hotels in the Middle East John Vernon Vernon Law Group, Dallas TX Presenter Click to add photo John M. Vernon John Vernon has worked in international hospitality
More informationIslamic Finance More Than Window Dressing?
Islamic Finance More Than Window Dressing? This article considers the most common structures employed in Islamic finance and deals with some of the criticisms surrounding its practice. Introduction Islamic
More informationFINANCIAL COOPERATION
FINANCIAL COOPERATION OIC/COMCEC-FC/34-18/D(..) CCO BRIEF ON FINANCIAL COOPERATION COMCEC COORDINATION OFFICE April 2018 2017 0 CCO BRIEF ON FINANCIAL COOPERATION Financial Cooperation among the Member
More informationAmana Participation Fund
Investor Shares AMAPX Amana Participation Fund Institutional Shares: AMIPX Halal Capital Preservation and Current Income About Amana Mutual Funds Trust At the Amana Mutual Funds Trust and Saturna Capital,
More informationIslamic finance. Building 150 financial institutions by Financial Services
Financial Services Islamic finance Building 150 financial institutions by 2020 Authors Greg Rung Travis Hollingsworth Rico Brandenburg The gap in access to finance in the Muslim world creates attractive
More information13th Global Conference of Actuaries 2011
13th Global Conference of Actuaries 2011 Emerging Risks Daring Solutions Azim Mithani Chief Executive Officer Prudential BSN Takaful Berhad Malaysia February 20 22, 2011 1 Market Opportunity 2 Understanding
More informationRe-assessing the Arab-European Financial Relationship: Continuity in the Middle East, Change in Europe
Re-assessing the Arab-European Financial Relationship: Continuity in the Middle East, Change in Europe Andrew Cunningham Founder Darien Middle East www.darienmiddleeast.com French-Arab Banking Dialogue
More informationDiversification of Islamic Financial Instruments in Turkey
Republic of Turkey Undersecretariat of Treasury Diversification of Islamic Financial Instruments in Turkey Utku ŞEN Treasury Expert 9 th MEETING OF THE COMCEC FINANCIAL COOPERATION WORKING GROUP October
More informationGlobal Calls for Economic Justice: the potential of Islamic finance
2012 LSE-Harvard public lecture on Islamic Finance Global Calls for Economic Justice: the potential of Islamic finance Mukhtar Hussain Chief executive officer, HSBC Malaysia Justice Cranston Chair Professor
More informationEnhancing the Resilience and Stability of the Islamic Financial System
Enhancing the Resilience and Stability of the Islamic Financial System Regulators Forum Global Islamic Finance Forum 2010 Special Session on Islamic Finance and Financial Stability Report Dr. Zeti Akhtar
More informationSukuks. Bin Shabib & Associates (BSA) LLP. 1. Legal and Regulatory Issues: a. Introduction. Overview of the Sukuk Market
Bin Shabib & Associates (BSA) LLP Sukuks 1. Legal and Regulatory Issues: a. Introduction Overview of the Sukuk Market In a growing Islamic Finance market, it is essential to continually strengthen the
More informationTHE SUKUK HANDBOOK. A Guide To Structuring Sukuk. Second Edition
THE SUKUK HANDBOOK A Guide To Structuring Sukuk Second Edition CONTENTS THE HISTORY AND DEVELOPMENT OF SUKUK... 1 SUMMARY OF SUKUK STRUCTURES... 6 SUKUK AL-IJARA... 9 CASE STUDY: GOVERNMENT OF DUBAI US$5
More informationIFSB FORUM THE EUROPEAN CHALLENGE
IFSB FORUM THE EUROPEAN CHALLENGE ROME, 9 APRIL 2013 Opening address by Governor Ignazio Visco Ladies and gentlemen, I am pleased to welcome you today to this Seminar, organized by the Islamic Financial
More informationGROWING DEMAND FOR CORPORATE SUKUK SOHAIL JAFFER DEPUTY CEO, FWU GLOBAL TAKAFUL SOLUTIONS
GROWING DEMAND FOR CORPORATE SUKUK SOHAIL JAFFER DEPUTY CEO, FWU GLOBAL TAKAFUL SOLUTIONS IFN EUROPE FORUM 2013 28 MAY 2013 OUTLINE Global Sukuk Issuances growing Malaysia & the Ringgit dominate Corporate
More informationThe Future of Islamic Wealth Management in Malaysia and the OIC World: Challenges and Opportunities Iqbal Khan
The Future of Islamic Wealth Management in Malaysia and the OIC World: Challenges and Opportunities Iqbal Khan Twitter: @IqbalKhanCEO BNP Paribas - INCEIF Centre of Islamic Wealth Management Inaugural
More informationWealth Management and Islamic Finance: Synergies and Opportunities
Wealth Management and Islamic Finance: Synergies and Opportunities Dato Stewart LaBrooy CEO Axis REIT Managers Bhd INCEIF Inaugural Colloquium Sime Darby Convention Centre 19 th December, 2013 Program
More informationCAPITAL MARKETS AUTHORITY ISLAMIC CAPITAL MARKETS. Research, Market Infrastructure and Product Development
CAPITAL MARKETS AUTHORITY ISLAMIC CAPITAL MARKETS CONSULTATIVE FORUM Research, Market Infrastructure and Product Development 19 TH OCTOBER 2011 PRESENTATION OUTLINE Introduction Historical Development
More informationIslamic Fund Servicing
Islamic Fund Servicing Global Islamic Solutions, delivered locally WORLDWIDE SECURITIES SERVICES Meeting Islamic Asset Servicing Requirements J.P. Morgan Worldwide Securities Services Our comprehensive
More informationGLOBAL PRIMARY SUKUK MARKET OUTPERFORMS IN 1H2014
Insights GLOBAL PRIMARY SUKUK MARKET OUTPERFORMS IN 1H2014 Global Primary Sukuk issuances have soared in 1H2014, with some notable events adding new opportunities to the sukuk marketplace. The world s
More informationCarbon Trading and Islamic Capital Market Growth: Doubling Time and Forecasting
AI-Idah 27 ( Dec., 2013) Carbon Trading and Capital Market Growth;... 25 Carbon Trading and Capital Market Growth: Time and Forecasting Dr. Naila Nazir Dr. Abdul Qayum Khan Abstract: Introduction: The
More informationIslamic Finance Seminar Wednesday 2 December
Islamic Finance Seminar Wednesday 2 December Islamic Finance Seminar Wednesday 2 December Chris Fletcher Greater Manchester Chamber Policy & Marketing Director Islamic Finance Seminar Wednesday 2 December
More informationAbu Dhabi Islamic Bank PJSC
INTERIM CONDENSED CONSOLIDATED FINANCIAL STATEMENTS 30 SEPTEMBER 2015 (UNAUDITED) INTERIM CONDENSED CONSOLIDATED FINANCIAL STATEMENTS 30 September 2015 (unaudited) Contents Page Review report of interim
More informationEXPLORING GROWTH OF TAKAFUL MARKET IN PAKISTAN. Muhammad Kashif Siddiqee, ACA Joint Director - SECP
EXPLORING GROWTH OF TAKAFUL MARKET IN PAKISTAN Muhammad Kashif Siddiqee, ACA Joint Director - SECP 1 2 THE NEED FOR INSURANCE All humans and/or Organizations inevitably are exposed to various types of
More informationLooking East: The Islamic Alternative? by Helen Sanders, Editor
Looking East: The Islamic Alternative? by Helen Sanders, Editor particularly in relation to corporate treasury, and how does it differ from conventional banking? We hear vague mentions about Islamic products
More informationTakaful Business Challenges and Opportunities
Life Insurance Conference 2012 Takaful Business Challenges and Opportunities 9 November 2012 Amara Sanctuary Resort Sentosa, Singapore By: Hans De Cuyper Chief Executive Officer Etiqa Insurance & Takaful
More informationZeti Akhtar Aziz: Potential role of Islamic finance in strengthening the New Silk Road
Zeti Akhtar Aziz: Potential role of Islamic finance in strengthening the New Silk Road Special address by Dr Zeti Akhtar Aziz, Governor of the Central Bank of Malaysia, at GIFF Investors & Issuers Forum:
More informationFunds Europe & Funds Global - Audience 2018
Funds Europe & Funds Global - Audience 2018 1 About Funds Europe & Funds Global...Page 3 Readership by Seniority....Page 4 Print Circulation. Page 5 Online Audience Page 6 Email Audience.... Page 8 Media
More informationEuromoney Conference Kuwait April 2011 Financing Development Development Financing
Euromoney Conference Kuwait April 2011 Financing Development Development Financing Agenda 1- Benefits of Islamic Finance 2 - Precedents of Islamic Finance in Financing Development 3 - Aspects of Kuwait
More informationMENA Benchmarking Report Arab-EU Business Facilitation Network
MENA Benchmarking Report Arab-EU Business Facilitation Network www.ae-network.org September 2014 Agenda Objective of the Report Macroeconomic Analysis Business Environment Index MENA Rankings 2 Objective
More informationFranklin GCC Bond Fund
Franklin Templeton Investment Funds Franklin GCC Bond Fund Fixed Income Fund Profile Fund Details Inception Date 30 August 2013 Investment Style Benchmark(s) Fixed Income Citigroup MENA Broad Index GCC
More informationA Series of Studies on Sukuk Issuances from different Jurisdictions IIFM 1. Series1: A study on Sukuk Issuances in Indonesia 2
A Series of Studies on Sukuk Issuances from different Jurisdictions IIFM 1 Series1: A study on Sukuk Issuances in Indonesia 2 August 2010 1 International Islamic Financial Market is the global standardization
More informationGlobal Islamic wealth. management: trends and opportunities
Global Islamic wealth management: trends and opportunities Sohail Jaffer says there are several reasons why the Islamic niche of the industry is expected to outgrow conventional wealth management over
More informationThe most rapidly expanding sector of
Emergence of bancatakaful worldwide Sohail Jaffer is Deputy CEO at FWU Global Takaful Solutions The most rapidly expanding sector of the worldwide bancassurance industry distributing insurance products
More informationDRIVES NEW DEVELOPMENT IN AFRICA
ISLAMIC FINANCE Insights FINANCE DRIVES NEW DEVELOPMENT IN AFRICA Opportunities for Islamic finance abound across Africa, as development proceeds apace across the continent. Africa is fast becoming an
More informationpractical information
practical information july 2017 hermes cover special Cover for Islamic finance practical information hermes cover special Cover for Islamic finance hermes cover for islamic finance Hermes Cover is available
More informationInternational Islamic Liquidity Management Corporation
International Islamic Liquidity Management Corporation An Overview of Liquidity Management Issues for Institutions Offering Islamic Financial Services March 9 th, 2016/ Jumada Al- Awwal 29, 1437 IRTI Eminent
More informationProfitability Comparison of Islamic and Conventional Banks
Profitability Comparison of Islamic and Conventional Banks Tariq Alzoubi * The study examines 33 conventional banks and 10 Islamic banks from Saudi Arabia, Kuwait, United Arab Emirates (UAE), and Jordan,
More informationMEIC PRE-CONFERENCE SURVEY: MIDDLE EAST & NORTH AFRICA MARKET ISSUES. March 2013
MEIC PRE-CONFERENCE SURVEY: MIDDLE EAST & NORTH AFRICA MARKET ISSUES March 2013 SURVEY RESULTS POLITICAL STABILITY & GOOD GOVERNANCE WOULD HAVE THE MOST POSITIVE IMPACT ON ECONOMY 60% What do you think
More informationIslamic Instruments for Asset Management
Islamic Instruments for Asset Management Professor Rodney Wilson IRTI 15th Distance Learning Programme Intermediate Level Course Tuesday, March 20, 2012 Contents Islamic asset management vehicles Advantages
More informationCan Moscow be an International Financial Center?
Can Moscow be an International Financial Center? Moscow By Iftekhar Hasan, who thanks other authors who have provided information either directly or via web What is Important for Developing a Financial
More informationFunds Europe & Funds Global - Audience 2018
Funds Europe & Funds Global - Audience 2018 1 About Funds Europe & Funds Global...Page 3 Readership by Seniority....Page 4 Print Circulation. Page 5 Online Audience Page 6 Email Audience.... Page 8 Media
More informationIslamic Finance: Hedging Instruments and Structured Products. Dr Ken Baldwin Islamic Development Bank 27 th January 2014
Islamic Finance: Hedging Instruments and Structured Products Dr Ken Baldwin Islamic Development Bank 27 th January 2014 Religious Context Islamic financial institutions offer products consistent with Islamic
More informationISLAMIC BANKING IN EUROPEAN UNION COUNTRIES: CHALLENGES AND OPPORTUNITIES
ISLAMIC BANKING IN EUROPEAN UNION COUNTRIES: CHALLENGES AND OPPORTUNITIES Diana Sadoveanu Alexandru Ioan Cuza University of Iași diana.sadoveanu@gmail.com Abstract: Islamic banking is a relative young
More informationAbu Dhabi Islamic Bank PJSC INTERIM CONDENSED CONSOLIDATED FINANCIAL STATEMENTS 30 JUNE 2012 (UNAUDITED)
INTERIM CONDENSED CONSOLIDATED FINANCIAL STATEMENTS 30 JUNE 2012 (UNAUDITED) INTERIM CONDENSED CONSOLIDATED FINANCIAL STATEMENTS Contents Page Report on review of interim condensed consolidated financial
More informationThe Potential of Islamic Finance in Achieving the SDGs
The Potential of Islamic Finance in Achieving the SDGs Dr. Rami Ahmad Special Envoy on SDGs Senior Advisor to the President Islamic Development Bank Group SUSTAINABLE DEVELOPMENT TRANSITION FORUM 2017
More informationTHE LUXEMBOURG FINANCIAL CENTRE!
THE LUXEMBOURG FINANCIAL CENTRE! A WORLD OF OPPORTUNITIES! DUBAI! 3 March 2015! 2! Our panellists! Moderator:!! Tom Theobald, Deputy CEO, Luxembourg for Finance!! Experts:!! Hugues Delcourt, CEO, Banque
More informationSUKUK, an Emerging Asset Class
SUKUK, an Emerging Asset Class Ibrahim Mardam-Bey CEO, Siraj Capital Ltd November, 2007 DEFINITION AAOIFI Standard 17: investment Sukuk are certificates of equal value representing undivided shares in
More informationThe Rule of Law as a Factor for Competitiveness
The Rule of Law as a Factor for Competitiveness Lessons from the Global Competitiveness Index 2008-2009 Irene Mia Director, Senior Economist Global Competitiveness Network, World Economic Forum OECD Workshop
More informationbuilding value together 26 April 2013 Takaful in Africa Hassan Scott Odierno, FSA Lome
building value together 26 April 2013 Takaful in Africa Hassan Scott Odierno, FSA Lome www.actuarialpartners.com Takaful in Africa 2 Extent of religion in insurance Religious buildings and property can
More informationSNA/M1.18/6.a. 12 th Meeting of the Advisory Expert Group on National Accounts, November 2018, Luxembourg. Agenda item: 6.a.
SNA/M1.18/6.a 12 th Meeting of the Advisory Expert Group on National Accounts, 27-29 November 2018, Luxembourg Agenda item: 6.a. Islamic finance in the national accounts Introduction At its 11 th meeting
More informationEXPANDING ISLAMIC FINANCE HOW REGULATORS ARE CHANGING THE WORLD
HOW REGULATORS ARE CHANGING THE WORLD By implementing reforms and amendments to national financial legislations, many of the world s regulators and government institutions are creating environments for
More informationFTSE Global Equity Index Series
Methodology overview FTSE Global Equity Index Series Built for the demands of global investors Indexes for a global market The FTSE Global Equity Index Series (FTSE GEIS) includes objective, rules-based
More informationThe Response of Islamic finance to the recession. 12 May 2009 Farmida Bi, Partner
The Response of Islamic finance to the recession 12 May 2009 Farmida Bi, Partner Islamic Finance: A different model September 2008 confidence Islamic banks had not invested in toxic assets, held actual
More informationAbstract. ISLAMIC FINANCE-A Tool for Financial Inclusion. Smt. Archana H.N, Assistant Professor, Vijayanagara Sri Krishnadevaraya University
Abstract ISLAMIC FINANCE-A Tool for Financial Inclusion Smt. Archana H.N, Assistant Professor, Vijayanagara Sri Krishnadevaraya University In this era of liberalization, privatization, globalization, transnationalisation
More informationTHE PRIVATE SECTOR ARM OF THE ISLAMIC DEVELOPMENT BANK GROUP
THE PRIVATE SECTOR ARM OF THE ISLAMIC DEVELOPMENT BANK GROUP 3rd International Conference on Foreign Investment in Albania Islamic Corporation for the Development of the Private Sector (ICD) Member of
More informationA Review of the Development of GCC Takaful Rating Fundamentals and Catalysts for Growth Over the Next Decade
10 th Anniversary The A Review of the Development of GCC Takaful Rating Fundamentals and Catalysts for Growth Over the Next Decade Mahesh Mistry Director - Analytics A.M. Best Europe Rating Services Ltd
More informationAbu Dhabi Islamic Bank PJSC INTERIM CONDENSED CONSOLIDATED FINANCIAL STATEMENTS 30 SEPTEMBER 2010 (UNAUDITED)
INTERIM CONDENSED CONSOLIDATED FINANCIAL STATEMENTS 30 SEPTEMBER 2010 (UNAUDITED) INTERIM CONDENSED CONSOLIDATED FINANCIAL STATEMENTS Contents Page Report on review of interim condensed consolidated financial
More informationComparative study between bonds and sukuks
University Abdelmalek Esaadi of Tetouan Master : Islamic Finance Islamique Comparative study between bonds and sukuks Presented by : Reda Harrak Omar El Kahlouni Ihsan Hadaf Anissa El Gazzouti Omar Ettafzi
More informationThe Role of Sukuk in Islamic Capital Markets
The Role of Sukuk in Islamic Capital Markets Islamic Fund Management Presented by Dr Marjan Muhammad (ISRA) and Ruslena Ramli (RAM Ratings) Dr. Marjan Muhammad and Ruslena Ramli 11 th Meeting COMCEC Financial
More informationSovereign Development Funds and the Shifting Wealth of Nations
Sovereign Development Funds and the Shifting Wealth of Nations Salzburg Global Seminar Javier Santiso Director and Chief Economist 27 September Salzburg, Austria A fundamental shift Emerging economies
More information