INDONESIA - BANKING - Bank Islam remains interested in buying a stake in an Islamic bank in Indonesia

www.thestar.com.my - PETALING JAYA: Bank Islam Malaysia Bhd is still keen on buying a stake in a Islamic financial institution in Indonesia, but is awaiting further clarification on the country's shareholding regulations for commercial banks.
BIMB Holdings Bhd group managing director and chief executive officer Johan Abdullah said no decision has been made on potential Indonesian acquisitions for now.
“At this juncture, we are still exploring and collecting data,” he told reporters after the group's 15th AGM. (source)

INDONESIA - TAKAFUL - Takaful M’sia upbeat on M&As

www.thestar.com.my - It plans to take advantage of Bank Negara’s RBC framework implementation
KUALA LUMPUR: Syarikat Takaful Malaysia Bhd is looking to expand its business and increase market share via mergers and acquisitions (M&As) from 2014 onwards after the risk-based capital (RBC) framework for takaful operators is in place.
Group managing director Datuk Mohamed Hassan Md Kamil said the RBC framework for takaful operators would be in place by the end of next year.
“By then, takaful operators that do not meet the minimum capital requirement would either have to inject more capital or consolidate. If there is a suitable partner, merging would be an option we will definitely explore in the future. This is because growing organically can take some time. (source)

INDONESIA - BANKING - Bank of Indonesia’s plans will hurt CIMB, Maybank

biz.thestar.co.my - Analyst says Indonesia’s moves to impose new shareholding caps will have negative impact
PETALING JAYA: All eyes are now on Malaysia's two biggest banks, CIMB Group Bhd and Malayan Banking Bhd (Maybank), as speculation that Bank of Indonesia (BoI) plans to impose new caps on single-shareholder stakes in the country's commercial banks as early as this month has resurfaced.
The news that BoI was seeking to limit single-shareholder stakes for commercial banks was first reported in July last year.
Alliance Research analyst Cheah King Yoong viewed such a development to be potentially negative for CIMB and Maybank, given their majority stakes in their respective Indonesian banks.  (source)

INDONESIA BANKING - All BII divisions boost Maybank unit

www.thestar.com.my - JAKARTA: Malayan Banking Bhd’s (Maybank) Indonesian unit PT Bank Internasional Indonesia Tbk (BII) recorded a 78% increase in its net profit to 267 billion rupiah (RM87.95mil) for the first quarter ended March 31, due to strong loan growth, better performance of the bank’s core businesses, and improvement of the overall banking operations.
Maybank said in a statement yesterday that the decline in provision expenses due to improving asset quality also contributed to the stronger bottom line.
The bank also continued to book strong loan growth in the first quarter.  (source)

INDONESIA - BANKING - Maybank Islamic eyes region

www.thestar.com.my - THE buzz of activity at Maybank Islamic Bhd is a sign that's most welcome to its CEO Muzaffar Hisham. It is the largest Islamic bank in the country which had seen assets grow to US$23bil (RM70.32bil) at the end of last year and the hectic movement within the corridors of the bank is an indication of the momentum it has built.
Having built its position through the Islamic window at parent Malayan Banking Bhd's branches, Maybank Islamic is now looking to branch out its success formula into the region.
Looking at a wider regional perspective, Muzaffar says there are still pockets of opportunities for the bank to expand and grow its presence. 
“The key markets that we like to focus on are Singapore and Indonesia, and we saw that when we were able to grow our cross-border financing to Indonesia to US$500mil to US$600mil from basically nil after changes in the tax structure,” he says.  (source)

PHILIPPINES - BANKING - Maybank may be bidding for Philippines’ Islamic bank

biz.thestar.com - PETALING JAYA: Malayan Banking Bhd (Maybank) said it is keeping its options open in bidding for Al Amanah Islamic Investment Bank of the Philippines, the country’s only Islam-oriented commercial bank, a Philippine’s based newspaper reported.

Al Amanah Islamic Bank is looking for a strategic partner through the sale of a 49% stake or the entire bank to a foreign entity with expertise in Islamic banks.

Maybank told the Philippine’s based newspaper that it wanted to expand further in the Asean region while strengthening its hold in the Asia-Pacific region. (source)

INDONESIA - BANKING - Affin’s H2 China target - Indonesia still ON

biz.thestar.com.my - It aims to offer Islamic banking there with Hong Kong’s BEA
KUALA LUMPUR: Affin Holdings Bhd expects its plan to set up Islamic banking operations in China to materialise in the second half of this year.
Deputy chairman Tan Sri Lodin Wok Kamaruddin said Affin Holdings would collaborate with its shareholder, Hong Kong-based Bank of East Asia Ltd (BEA), to offer Islamic banking products in China.
BEA, which holds some 23% of Affin Holdings, is the biggest foreign bank in China. (source)

MALAYSIA - REGULATIONS - Syariah-based hire-purchase Act to be introduced

www.thestar.com.my - BERA: A new hire-purchase Act in accordance with Islamic principles will be introduced, said Domestic Trade, Cooperatives and Consumerism Minister Datuk Seri Ismail Sabri Yaakob.

He said a study of the draft Act was being discussed with a panel comprising Islamic economists and Muslim consumer associations, and it was being finalised.

The draft would also look into examples of Islamic legislation used in other countries.  (source)

INDONESIA - CAPITAL MARKETS - Indonesia plans to sell $500 mln global sukuk this year

biz.thestar.com - KUALA LUMPUR: The Indonesian Finance Ministry is targetting a $500 million 5-year global sukuk issuance this year, an official told reporters at an Islamic finance forum here on Monday.

"We are looking for the benchmark tenor, but we hope to have longer (tenures)," Dwi Irianti Hadiningdyah, deputy director of Islamic Financing for the ministry's debt management office, said.  (source)

MALAYSIA - CAPITAL MARKETS - Sukuk success due to rarity

KUALA LUMPUR: Malaysia's success in attracting US$9bil of orders for a US$2bil sale of sukuk reflects a one-year drought in global issuance by sovereign borrowers.

The nation's record dollar-denominated offering of US$1.2bil of five-year notes and US$800mil of 10-year debt was snapped up by more than 320 investors in Europe, Asia, the Middle East and the United States, the Government said in a statement yesterday. (source)

REGULATIONS - MALAYSIA - MIFC - June launch likely for 2nd phase of masterplan

It is primarily aimed at measures to support a high-value economy

KUALA LUMPUR: The second phase of the financial services masterplan, primarily aimed at measures to support a high-value economy, will likely be launched in June.

“We want to enhance the capacity of the financial system to best serve a high-value, high-income society.

“The measures will cover banking, insurance, money and foreign markets as well as Islamic finance,'' said Bank Negara governor Tan Sri Dr Zeti Akhtar Aziz at a press conference to launch the Bank Negara annual report 2010 yesterday.

“We want to develop a vibrant international Islamic financial centre with vibrant linkages with the region and the world,'' she added. “We also want Malaysia to be a centre for thought leadership in Islamic finance.'' (full story)

BANKING - Maybank Islamic sees 30% growth this year (BII)

KUALA LUMPUR: Maybank Islamic Bhd, which posted RM36bil revenue growth for Islamic financing for the financial year ended June 30, 2010, expects a 30% growth this year.

Chief executive officer Ibrahim Hassan said the target was achievable but challenging. (source)