UK - The rise of Islam The UK has 22 banks that offer Islamic products, far more than any other other country in the Western world

www.ftadvisor.com - There has been much debate about the Arab Spring in the past 12 months, with the world’s eyes watching what this will mean for the rest of the globe.
At its very heart lies individual and societal freedoms, but what is particularly interesting is that it is likely to result in more democratically-elected Islamic governments with the promise of moral leadership and shares values. This in turn will result in much greater demand for Islamic finance and wealth management solutions.
The global Islamic finance industry is currently purported to be worth more than $1 trillion (£619bn). It is expected to continue to grow in line with the development and expansion of the financial markets generally with a growing number of new shariah-compliant stocks and sukuk – a financial certificate similar to a bond – and a general desire to assert a specific Islamic identity to social activities.
But while the term Islamic financial planning might conjure up images of the Gulf or north African regions, we believe the UK is, and will continue to play, a pivotal role in advancing the growth. (source)

SWITZERLAND - Troubled Faisal Bank up for sale

www.reuters.com - (Reuters) - Faisal Private Bank, struggling since the collapse of property schemes in the Gulf and beyond, is up for sale after failing to raise enough money to meet the Swiss regulator's minimum capital requirements, its chief executive said on Thursday.
Chief Executive Mark Koch told Reuters the Geneva-based bank, which called itself the first Islamic private bank, is talking to three potential suitors. Faisal's parent, Bahrain-based Ithmaar Bank ITHMR.BH, will be selling part or all of its stake, he said.
"We have had to seek a new shareholder to take a majority position, and have identified several interested parties over the last five months," Koch told Reuters. (source)

GERMANY - Albaraka Turk enters Iraq - plans for Germany, Albania, Kosovo and Bosnia in the medium term

www.hurriyetdailynews.com - Albaraka Türk has become the first Turkish participation bank to open a branch in the city of Arbil in northern Iraq. The bank also plans to branch out to Qatar, Bahrain and Dubai in the near term and Europe, specifically Germany, Albania, Bosnia and Kosovo, in the medium term. “We are in Iraq to increase the presence of Turkish firms in the region, to support the development of the region and to modernize the Middle East,” Albaraka Türk’s general manager, Fahrettin Yahşi, told daily Hürriyet. Yahşi said Arbil was the most developed region in Iraq and on the brink of a re-birth, adding that Albaraka Türk was there to help the city reach its target of becoming a future Dubai. (source)

IRELAND - Gilmore speaks of aim to develop Ireland's involvement in Islamic finance

www.businessandleadership.com - Tánaiste Eamon Gilmore addressed a seminar this morning on the Government’s aim to make Ireland a European hub for Islamic finance.

“Internationally Islamic finance, or Sharia compliant finance, has demonstrated impressive growth rates - annual growth rates have been estimated at 15 -20pc,” he said. “The global Islamic finance industry is currently valued at approximately US$1.3trn.
“We see potential for significant growth in this area and it forms an important part of our strategy for international financial services in Ireland,” he said. “We are determined to ensure that the IFSC will develop as a centre of excellence for Islamic finance and are engaging with key stakeholders to move towards achieving this goal.”  (source)

IRELAND - Islamic Finance Development a "Priority" for Ireland

www.worldirish.com - Developing Ireland’s involvement in Islamic finance is a priority for the Irish Government, according to Tánaiste and Minister for Foreign Affairs Eamon Gilmore.
The minister was speaking at the International Fiscal Association Ireland Seminar this morning and outlined his vision for Ireland as a European hub for Islamic finance saying that it is a “good fit” for the country.
Islamic or Sharia law forbids the payment of interest on loans or overdrafts. It also prevents investments in certain sectors such as gambling and adult entertainment. (source)

RUSSIA - Russian, Azerbaijani and Kazakh banks to form a United Islamic Bank

www.businessislamica.com -The International Bank of Azerbaijan (IBA) and Russia’s VTB Bank plan to invite one of Kazakhstan’s leading banks to form the United Islamic Bank of the CIS, Trend cites Bekham Gurbanzade, head of a working group of the IBA.

Baku hosted the Fourth International Bank Conference of CIS States in early December 2011. The VTB and IBA made agreements. The Russian bank will use the experience of Azerbaijani specialists and consultants in Islamic banking, Azerbaijan will use the experience of the VTB. Efforts were united within the framework of the Financial and Banking Council of the CIS. (source)

GERMANY - German Bank Offers ‘Islamic-Compliant’ Investment

www.businessislamica.com - German bank WestLB rolled out a new “Islam-compliant” investment product named the Islamic Strategy Index Certificate. T

he value of the certificate is based on the value of the WestLB Islamic Deutschland Index, consisting of shares of ten German firms “whose business activities are consistent with the ethical rules of Islam.”  The prospectus explains that “for the selection [of stocks] it is in principle not permitted that the business activity of the chosen firms involve interest-bearing financial services or derivatives, insurance, alcohol, tobacco, pork, armaments, gambling, gold and silver hedging transactions, or the entertainment industry.”  (source)

TURKEY - BANKING - Bank Asya press conference

www.bankasya.com.tr - Bank Asya board member and general manager Mr. Abdullah CELİK held a press conference on 08.02.2012 and the main topics are listed below:

• Bank Asya continues ongoing negotiations with buyers regarding the sale of its Isik Sigorta (Insurance Subsidiary) shares. Depending on the offers, Bank Asya may sell entire of its shares. (source)

UK - Islamic Bank of Brotain launches ‘new banking experience’

www.thetelegraphandargus.co.uk - The Islamic Bank of Britain has launched its first high street outlet in West Yorkshire with a new agency serving the Bradford district.

The move follows the recent appointment of Sohaib Hamid as business development manager for the region. The IBB agency, located within Reeds Rains Estate Agents on Northgate, Dewsbury, is one of six agencies being opened by the bank this year.

It will serve customers across the West Yorkshire region including Bradford, Leeds and Wakefield.

The opening will help IBB to meet a growing local demand for Sharia-compliant retail financial products of which it has the largest range in the UK, including a Sharia-compliant mortgage alternative, home purchase plans, savings accounts, personal and business banking, as well as pensions and investment products, in conjunction with partners. (source)

GERMANY - Strong interest in no interest banking: An Overview of Islamic Finance in Germany

The German Federal Financial Supervisory Authority, BaFin (Bundesbank and German Federal Financial Supervisory Authority) sent two representatives on an Islamic finance congress. Dr. Johannes Engels, senior advisor and Robert Elsen, deputy head of the section for technical co-operation, both contributed to the World Islamic Finance Conference held this year in London, March 28/29. The conference featured such prominent figures of the Islamic finance world as Sheikh Nizam Yaquby, Shari'ah scholar from Bahrain who is a member of more than 80 Shari'ah-boards advising Islamic financial institutions and is considered to be one of the top ten leading Shari'ah-scholars in the world. The conference is not the first effort undertaken by the BaFin to jump start Islamic Banking in Germany.  (source)

UK - BANKING - Islamic Bank of Britain Show Yourself to Compete with Conventional

REPUBLIKA.CO.ID, LONDON - Islamic Bank of Britain (The Islamic Bank of Britain or IBB) showed that even in middle-market society, Islamic banks can still compete with conventional banking business. The bank apparently dared to apply for a product competitive margin deposits, and even beat some major conventional banks in the country, such as Barclays Bank, Bank Skonlandia, Halifax Bank, and Northern Rock. (source)

FRANCE - BANKING - ALBARAKA plans Paris branch in 2012

Albaraka cuts size of March sukuk

Albaraka Banking Group reduced the size of a March sukuk programme to $250 million.

Dubai:  Albaraka Banking Group reduced the size of a March sukuk programme to $250 million (Dh918 million)-$300 million from the planned $500 million, Chief Executive Officer Adnan Ahmad Yousuf said. (source)

UK - UK Islamic finance sector 'booming'

The Islamic finance industry in the UK has gone from famine to feast in the past six months, according to one of the country's leading Islamic institutions.

'We have seen more business transactions in the past six months than we achieved in the previous three years,' said Gatehouse Bank chief executive officer, Richard Thomas.

RUSSIA - Arab Banking Corp to launch Moscow operations

ABC will seek to increase trade between firms in Russia, Ukraine and Belarus with those in the Middle East and North Africa (MENA) region (Getty Images)

UK - BLME - Capital markets in a capital city

Bank of London and The Middle East (BLME) recently responded to strong public demand by creating an Islamic capital markets desk. Massoud Janekeh, the newly appointed Head of Islamic Capital Markets for BLME, spoke to Isla MacFarlane about his new role

Prior to becoming Head of Islamic capital markets at BLME, Janekeh was Head of Trade and Business Finance at the bank. In his new role, Janekeh will be responsible for managing the capital markets desk, as well as balance sheet management for BLME. According to Janekeh, a successful Islamic capital market needs robust and commercially attractive products that can provide a genuine alternative to conventional financing instruments. He explains that his new appointment will enable him to combine his experience in structured Islamic finance and BLME's access to London markets to offer BLME's customers a new funding source.

FRANCE - Albaraka Banking Group - Frankly speaking

One of the most active Middle Eastern Islamic banking organisations has been the Al Baraka Banking Group (ABG), led by the redoubtable Adnan Ahmed Yousif, who is also the Chairman of the Union of Arab Banks. Banker Middle East takes a look at what ABG is doing by way of its expansion plans, stress tests and boosting the Middle Eastern Sukuk market

Adnan Ahmed Yousif, Chairman of the Union of Arab Banks

Al Baraka claims that the success of the contemporary Islamic banking and finance movement owes much to the contribution and patronage of Sheikh Saleh Kamel, the founder of Al Baraka Banking Group.

The banking group puts as much emphasis on its corporate social responsibility (CSR) roots as it does on its extremely broad global footprint. It has a presence on several continents and Europe, more specifically France is next on its list. Al Baraka has operations in Jordan, Indonesia, Pakistan, Bahrain, Turkey, Syria, Lebanon, Tunisia, Algeria, South Africa, Sudan and Egypt.


“We consider the role of CSR in our organisation to be essential to the application of the principles derived from divine power and on which our business activities in all the countries in which we operate are based. All our subsidiaries embrace Islamic ethical principles and apply them to their banking operations and services,” the bank says on its website.