INDONESIA - BANKING - 2017, Islamic Banking Growing Market Doubles

WWW.TEMPO.CO, Jakarta - Business Islamic banks grew more rapidly for some time. Bank Indonesia estimate a market share of Islamic banks could grow 10 percent, or twice, and compete with conventional banks in five years. "This could be achieved if the rate of growth can we defend," said Deputy Governor of Bank Indonesia Halim Alamsyah when opening the 5th National Conference on Islamic Banking Bidakara Hotel, Wednesday, March 21, 2012.

Bank Indonesia recorded a total Islamic banking assets on average grew 40.5 percent in five years. Halim said, compared to conventional banking, Islamic banking industry grew twice. Currently a new Islamic bank controls 4 percent of the national banking market share, still below the target set by the central bank at 5 percent. "But I believe this target will be realized in the near future," he said.  (source)

INDONESIA - FINANCE - Infrastructure Fund, the Government Issuing Sukuk

WWW.TEMPO.CO, Jakarta - Director General of Debt Management Rahmat Waluyanto Ministry of Finance revealed it was seeking the issuance of sukuk to finance the project directly (project financing). "Government Regulation (PP) has come out so we could basically do," said Grace, Thursday, February 23, 2012.

Currently, the Ministry of Finance are coordinating with the National Development Planning Agency (Bappenas) on the plan. "Bappenas will provide the projects, we will issue debt securities in domestic and abroad to finance these projects," he said.  (source)

INDONESIA - BANKING - Indonesia Chance to Be World Islamic Banking Centre

WWW.TEMPO.CO, Jakarta - Indonesia's sharia banking predicted to grow rapidly. Policy on sustainable development of Shariah institutions and trade board ruling, a major strength. In addition, the market demand for Shariah products to be key factors behind the development of sharia financial services in Indonesia.

"Indonesia is a stable macroeconomic situation also supporting factors," said Head of the Centre for Islamic Finance, Bahrain Institute of Banking and Finance Mohammad Omar Farooq, in Jakarta on Monday, February 6, 2012. The main difference sharia financial institutions Indonesia lies in centralization giving fatwa. (source)

INDONESIA - BANKING - Islamic banks waiting for establishment Islamic benchmark

WWW.TEMPO.CO, Jakarta - Islamic Bank will continue to wait for the certainty of Bank Indonesia (BI) associated with the establishment of Islamic benchmark. They claim will not necessarily adopt the benchmark index.

Director of Bank Muamalat Indonesia (BMI), Arviyan Arifin, welcomed the plan to launch a benchmark BI shariah bank. "For us it's a good plan," he told Tempo on Sunday, February 19, 2012. (source)