INDONESIA - FINANCE - ICD poised to boost activity with SR1 billion SME fund - Indonesia gets attention

In the wake of the impact of the continuing global financial crisis, the euro zone debt crisis and the so-called Arab Spring - and their economic impact on global and regional markets including member countries of the Islamic Development Bank (IDB), the Jeddah-based Islamic Corporation for the Development of the Private Sector (ICD), the private sector funding arm of the IDB Group, is embarking on a new strategy to take its financing directly to its constituencies and to make its financing impact more on the real economy through the generation of employment and promoting growth. This includes opening regional offices; setting up two new departments at the ICD; launching more Ijara (leasing companies) in diverse markets such as Albania, Saudi Arabia and Algeria; establishing SME investment funds including a SR1 billion fund for Saudi Arabia; and establishing a mortgage finance company in Saudi Arabia in anticipation of the long-awaited mortgage law. (source)

INDONESIA - FINANCE - Mandala Finance gets US$25 million syndicated Islamic loans

JAKARTA: Mandala Finance secured a syndicated loan of US$25 million from four foreign banks, to support sharia-based financing for motorcycle in 2012.

 

The company enjoys the 4-year loan under murabaha contract, from Islamic Corporation for the Development of Private Sector (ICD), The Islamic Corporation for Insurance and Export Credit (ICIEC), Kuwait Finance House Bhd (KFH), and Unit Investment Fund (IUF) of Islamic Development Bank.  (source)

INDONESIA - FINANCE - Indonesia Not Utilizing IDB Fund Efficiently

TEMPO Interactive, Jakarta:Despite its large shares, Indonesia’s absorption of the Islamic Development Bank (IDB) loan remains low.


Former IDB executive-director to Indonesia, Karnaen A. Perwataatmadja, said the absorption of IDB funding by the Indonesian private sector was lower than other members. “In other countries, the benefit was higher than the fee,” he said in a seminar titled “Indonesian Private Sector Funding Access from IDB Group Fund Resource” in Jakarta yesterday.  (source)

INDONESIA - FINANCE - Mandala Multifinance Obtains $ 25 Million Murabaha Syndicated Loan Credit

JAKARTA - PT Mandala Multifinance Tbk (MFIN) gain in the form of murabaha syndicated loan of U.S. $ 25 million or about Rp214, 225 billion on 14 November 2011.

According to the Corporate Secretary MFIN Mahrus in a statement here on Tuesday, in the form of murabaha facility is derived from several financial institutions. (source)

INDONESIA - BANKING - Islamic Banking Reluctant Accessing IDB Loan

JAKARTA: Islamic Banking is a partner for the Islamic Development Bank to channel loans to domestic private sector with value reaching U.S. $ 1.1 billion until 2014.
 However, the cost (yield / margin) is high and long bureaucratic process that assessed the reason Islamic banks are reluctant to use the loan from the Islamic Development Bank (Islamic Development Bank / IDB).
 Nasirwan, Researcher Directorate of Islamic Banking Bank Indonesia (BI), ensuring there are no regulations that hamper the central bank's distribution program IDB financing to the private sector, through Islamic banks. (source)

INDONESIA - FINANCE - ICD to extend $157m of loans in 2012 (PT Sritex and PT Mandala Multifinance)

The Dubai-based Islamic Corporation for the Development of the Private Sector (ICD) says it will distribute US$157 million in sharia loans in 2012, comprising $17 million for three banks and $140 million for military uniform maker PT Sritex.

Director for the ICD’s financial institutions development department, Basel A. Al-Hag Issa, said ICD was still in discussions with some banks, but had yet to decide which banks would receive the $17 million loan. (source)

WORLD - IDB governors demand urgent action on IF promotion

The 36th Annual Meeting of the Board of Governors of the Islamic Development Bank (IDB) which concluded on June 30 in Jeddah disappointingly came up with no life-changing resolutions perhaps at a time when many of its member countries are experiencing crucial challenges to their political and economic governance. (source)

WORLD - ICD priorities: Financing of SMEs, food security and housing

JEDDAH: The Islamic Corporation for the Development of the Private Sector (ICD), a multilateral organization affiliated with the Islamic Development Bank (IDB) Group, is currently engaged in tackling issues related to the financing of small and medium enterprises (SMEs), and projects providing food security and housing among member countries.

Aside from SMEs, the ICD is considering the financing of projects for providing food security among member countries on priority.

“We have some member countries having potential for providing food security so that those who do not have such potential could benefit,” ICD’s Chief Executive Officer Khaled Al-Aboodi told Arab News on the sidelines of the corporation’s first clients day held at the Jeddah InterContinental Hotel.

Those with potential include Kazakhstan, Sudan and Indonesia. (source)

TRADE FINANCE - IDB entities boost trade finance ties with Indonesia

The Jeddah-based Islamic Development Bank (IDB) Group) is boosting its ties with Indonesia, the world's most populous Muslim country, under its Member Country Partnership Strategy (MCPS), a new initiative launched by the IDB in 2010 to identify, target, allocate, implement and evaluate its financing more efficiently in member countries. Thus far, already $3.5 billion have been allocated under this program to Indonesia for 2011-2014.

The latest initiatives under the MCPS include a Strategic Partnership Agreement (SPA) signed during the IDB Group/Indonesia meeting held in Jakarta on in May 2011 by the Islamic Cooperation for the Development of the Private Sector (ICD), the private sector financing arm of the IDB Group, and the Lembaga Pembiayaan Ekspor Indonesia (Indonesia Eximbank), to jointly explore investment opportunities in Indonesia and other IDB member countries. (full story - arab news)

FINANCE - ICD, Indonesia Eximbank sign partnership deal

Khaled Al-Aboodi, CEO of ICD, left, and I Made Gde Erata, CEO of Indonesia Eximbank, sign a partnership agreement in Jakarta. Ahmad Mohamed Ali, president of the IDB Group, and senior officials of Indonesia Eximbank look on. (AN photo) (full story)

FINANCE - ICD signs SPA with Indonesia Eximbank

The Islamic Cooperation for the Development of the Private Sector (ICD), the private sector arm of the Islamic Development Bank Group (IDB), has signed a Strategic Partnership Agreement (SPA) with Lembaga Pembiayaan Ekspor Indonesia (Indonesia Eximbank), to jointly explore investment opportunities in Indonesia and other IDB member countries, a press statement announced. (full story)

INTERNATIONAL - BI seeks House approval for $5m to grow Islamic finance

Bank Indonesia (BI) is seeking the House of Representatives’ approval for $5 million in capitalization funds for the International Islamic Liquidity Management (IILM) to develop sharia financing in Indonesia, home to the world’s largest Muslim population.

BI Governor Darmin Nasution on Monday said IILM members comprised 12 countries and multinational institutions, including Iran, Malaysia, Kuwait, Luxemburg, Qatar and the United Arab Emirates, the Islamic Development Bank (IDB), the Islamic Corporation for the Development of the Private Sector (ICD) and the Islamic Financial Services Board (IGFB). (source)

BANKING - BNI Syariah seeks partnership with foreign investors

The Jakarta Post

JAKARTA

BNI Syariah, a unit of the countrys fourth-largest lender, Bank Negara Indonesia (BNI), says it wants to partner with foreign investors to expand its sharia banking business.

BNI Syariah president director Rizqullah said in Jakarta on Wednesday that the bank was negotiating a partnership with the Islamic Development Banks private financing arm, the Islamic Corporation for Development (ICD).He said that BNI Syariah had previously signed a Memorandum of Understanding (MoU) with ICD.