Sukuk Default – Saad Group Head Arrested in Saudi Arabia Maan Al Sanea was arrested by Saudi authorities in October on charges of evading justice and owing large sums of money to creditors. He is also accused in the English courts of a $650m (£495m) fraud that has triggered a battle between hedge funds and the French bank BNP Paribas. The Telegraph reported Mr Maan’s $22bn Saad Group, collap... »
Commentary by RHB Global Sukuk Markets Research, Kuala Lumpur, Malaysia Saudi Banking Sector Gets SAR20bn Injection The Saudi Arabian Monetary Agency (SAMA) injected SAR20bn (USD5.3bn) into the banking system via time deposits, and also introduced 7 day and 28 day repurchase agreements in support of more monetary policy tools to support the economy. This comes after the 3 month Saudi Interbank Off... »
Global Takaful Insights 2014 by EY Highlights Growth and profitability prospects for takaful operators vary significantly by markets and sectors, depending on the market’s economic maturity, industry and regulatory structure. Despite volatility in financial markets, there appears to be growth momentum in three key markets: Saudi Arabia, United Arab Emirates (UAE) and Malaysia. Acquisition of mark... »
No details as to whether the loans will be Sharia compliant has been released. Three major Japanese lenders form part of the loan syndicate. »
The AAA rated supranational institution, Islamic Development Bank (IsDB) in a recent investors presentation highlighted projects it has co-financed. »
The use of Sharia compliant loans is making in-roads with the private sector in Saudi Arabia which is favouring such products over sukuk issuances. »
Current estimates of the size of the global Islamic finance industry range from $1.66 trillion to $2.1 trillion. Recent announcements from Saudi Aramco may be about to give these numbers a supersized boost with a potential valuation and part IPO of up to $10 trillion. »
Sukuk issuances in October 2015 stood at USD2.6bn, increasing from USD0.5mn registered in the earlier year during the same period. For YTD October 2015 sukuk issuance by value declined 22%y-o-y to USD16.2bn, mainly driven by a sharp decline in sovereign issuances (-21% y-o-y, worthUSD4.8bn) and quasi-sovereign (-82%y-o-y,USD1.0bn). »
Saudi dairy and poultry producer Almarai settled for a 1.6 billion Riyal sukuk issuance after previously stating it was looking for a 2 billion issuance depending on "market conditions", which it seems were not present to allow it to achieve its target issuance amount. Sukuk tend to be heavily oversubscribed and the fact that Almarai was not only able to hit its desired issuance amount, let alone ... »
International law firm Clifford Chance advised International Company for Water & Power Projects (ACWA Power) on two syndicated commodity murabaha-based transactions to add another SAR1.109 billion (US$295 million) to its revolving shari'a compliant working capital facilities. »
