MALAYSIA Debt Ventures Bhd (MDV), a wholly-owned subsidiary of the Ministry of Finance, will focus more of its activities on Islamic financing this year, said managing director cum chief executive officer Md Zubir Ansori Yahaya. He said the company was determined to support the government's effort to promote Islamic finance and use the funds raised from sukuk issues to finance development projects.
The company has to date issued two sukuks worth RM1 billion. "All (new) loans will be approved based on the syariah. If a loan does not fall into this category, it will be converted into conventional financing," he said recently.
Zubir said conventional financing would only be considered in instances where the project to be financed did not comply with syariah principles. He said the largest beneficiary of MDV's services this year would be the information and communications technology (ICT) sector which would account for 80 per cent of the loans disbursed. The remaining 20 per cent will go to the biotechnology and green technology sectors in equal proportions. At present, 90 per cent of MDV's loan portfolio is to the ICT sector while the biotechnology sector accounted for the remainder. Zubir said MDV expected to lend out between RM600 and RM700 million. - Bernama
The company has to date issued two sukuks worth RM1 billion. "All (new) loans will be approved based on the syariah. If a loan does not fall into this category, it will be converted into conventional financing," he said recently.
Zubir said conventional financing would only be considered in instances where the project to be financed did not comply with syariah principles. He said the largest beneficiary of MDV's services this year would be the information and communications technology (ICT) sector which would account for 80 per cent of the loans disbursed. The remaining 20 per cent will go to the biotechnology and green technology sectors in equal proportions. At present, 90 per cent of MDV's loan portfolio is to the ICT sector while the biotechnology sector accounted for the remainder. Zubir said MDV expected to lend out between RM600 and RM700 million. - Bernama
Source : http://www.btimes.com.my/Current_News/BTIMES/articles/madav/Article/ - Jan 4, 2011
MALAYSIA - Malaysia Debt Ventures to focus on Islamic finance - and Indonesia ?
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