MALAYSIA - BANKING - Al-Rajhi bank unveils Commodity Murabahah

www.btimes.com.my - Al Rajhi Bank Malaysia on Monday introduced Collateralised Commodity Murabahah-i (CCM-i) as a new instrument for its Treasury use and is pleased to be the first Islamic financial institution to adopt such instrument in managing its daily money market transactions. The announcement was made at their Kuantan Branch launching ceremony which was graced by YAB Dato’ Seri DiRaja Adnan Yaakob, Menteri Besar Pahang.

On a similar note, in its recent announcement, Bank Negara Malaysia (BNM) has recently introduced the Collateralised Murabahah instrument. CCM-i, based on a Commodity Murabahah transaction and backed by a pledge mechanism, was introduced as an alternative solution in addressing the urgent demand of Islamic banks in managing their liquidity. It is a low credit-risk financial instrument for the Islamic interbank money market players under the Bank Negara Malaysia’s Standing Facility guideline; enabling Islamic banks to tap on liquidity by utilising their holdings of tradable sukuks and other acceptable Islamic securities as pledge for their liquidity requirements. (source)

INDONESIA - BANKING - Indonesia lures Mideast Shariah lenders

www.gulf-times.com - Indonesia’s Islamic finance industry is luring investment from Middle Eastern and European banks as regulator seeks to double Shariah-compliant assets to 10% of the total this decade.
Al Rajhi Bank, Saudi Arabia’s largest, is chasing investment banking business in Indonesia and may open branches “at the right time,” Mudassir Amray, the head of wholesale banking in Kuala Lumpur, said in a February 2 interview. Standard Chartered Saadiq will add more outlets, said Wasim Saifi, the Singapore-based global head of Islamic and consumer banking.
“We are on the lookout for any good Indonesian acquisition, if the price is right,” Mohamed Azahari Kamil, the Kuala Lumpur-based chief executive of Asian Finance Bank Bhd, the Malaysian unit of Qatar Islamic Bank, said in an interview on Monday. “We have to be quick as the Indonesian market is becoming more competitive.”  (source)

INDONESIA - BANKING - Indonesia Shariah Assets Rise Most Since 2003

www.bisnis.com - JAKARTA: The fastest growth in Indonesia's Shariah-compliant banking assets since 2003 is bolstering speculation that the government will meet its target for the industry next year.

Islamic holdings increased 49 percent to 145.5 trillion rupiah ($16.1 billion) in 2011, compared with an average 38 percent expansion over the previous five years, central bank data released on Feb. 15 showed.

That's less than Malaysia, a global Shariah finance hub, where assets total 389.3 billion ringgit ($129 billion), government data show.

Bank Indonesia has said it wants the industry to account for 5 percent of the country's total banking assets by 2013, from less than 4 percent now, and 10 percent by 2015 to 2020.  (source)

INDONESIA - BANKING - Jakarta Becomes Magnet of Shari`ah Assets

www.onislam.net - CAIRO – Taking a share of the booming Islamic finance industry, Indonesia is becoming a magnet of Shari`ah-compliant assets from all around the globe.

“We are on the lookout for any good Indonesian acquisition, if the price is right,” Mohamed Azahari Kamil, the Kuala Lumpur-based chief executive of Asian Finance Bank Bhd, the Malaysian unit of Qatar Islamic Bank, told the Gulf Times on Thursday, February 9. (source)

INDONESIA - BANKING - Indonesia lures Mideast Shariah lenders

www.gulftimes.com - Indonesia’s Islamic finance industry is luring investment from Middle Eastern and European banks as regulator seeks to double Shariah-compliant assets to 10% of the total this decade.
Al Rajhi Bank, Saudi Arabia’s largest, is chasing investment banking business in Indonesia and may open branches “at the right time,” Mudassir Amray, the head of wholesale banking in Kuala Lumpur, said in a February 2 interview. Standard Chartered Saadiq will add more outlets, said Wasim Saifi, the Singapore-based global head of Islamic and consumer banking.  (source)

MALAYSIA - BANKING - Al Rajhi Bank to expand remittance services (Indonesia included)

KUALA LUMPUR: Al Rajhi Bank Malaysia, which has so far provided remittance business services to Indonesia, the Philippines, Nepal and Bangladesh, plans to increase its market share by extending the service to more countries.

Al Rajhi Malaysia retail banking director Sabry Ghouse said the bank sees great potential in the remittance business in Malaysia, given the sizeable foreign workers population in the country. (source)

BANKING - Asian Growth Attracts Shariah Banks From Gulf: Islamic Finance - Al Salam - Asia Finance Bank

Aug. 10 (Bloomberg) -- Al Salam Bank BSC, Bahrain’s fastest-growing lender by revenue in the past year, plans to invest $500 million of Islamic funds in Asia, joining Saudi Arabia’s Al Rajhi Group in tapping the region’s growth.

Al Salam Bank will put funds into real estate, agriculture and food in the next five years, focusing on Malaysia, Indonesia and Singapore, Yousif A. Taqi, chief executive officer at the Manama-based bank, said in an interview on Aug. 5. Al Rajhi is looking to invest $200 million in Asian property, Jonathan King, director at AEP Investment Management Ltd., which is 80 percent owned by the Saudi group, said on Aug. 2 in Singapore.