The Government of Indonesia has raised IDR 9 trillion from its biweekly auction of State Shariah Securities (SBSN), also referred to as State Sukuk, held on the 26th of January 2021. The auction was conducted via Bank Indonesia acting as the SBSN Auction Agent and raised less than the indicative targeted amount of IDR 14 trillion.   According to a statement issued by the Directorate General of Budget Financing and Risk Management (DJPPR), Ministry of Finance, the total incoming bids received from the State Sukuk auction for the six series off...

Indonesia has launched its Shariah Economic Brand, a logo and identity aiming to boost the development of the country’s Shariah economy. Speaking at the official launch of the National Movement for Cash Waqf and Inauguration of the Sharia Economic Brand held at the State Palace on the 25th of January 2020, Indonesian President Joko Widodo shared his acceptance of the new Shariah Economic Brand emphasising it as a useful tool increase the added value of the Shariah economy in Indonesia and also to raise public awareness for the support of Shariah economic activities in the count...

BGSM Management (BGSMM)’s Islamic Medium-Term Notes (IMTN) Programme of up to MYR 10 billion (2013/2043), has been reaffirmed at AA3/Stable by RAM Ratings (RAM). BGSMM’s ultimate subsidiary, Maxis Berhad (Maxis), is extremely well-positioned in Malaysia’s mobile service industry; leading to this rating reaffirmation. Maxis’ considerable priority debts and BGSMM’s structural subordination of them are also factored in by RAM. As one of the first mobile communications pro...

Mambu, a pure SaaS banking platform based in the United Kingdom has partnered with Saudi-based Islamic fintech Ta3meed, to deliver digital Islamic financing solutions for Small and Medium Enterprises (SMEs), as well as investors in the region.  According to both companies, Mambu’s core banking technology will combine with Ta3meed’s automated Purchase Order (PO) Financing Platform to accelerate the digital transformation of financial institutions together with Sharia-compliant financing and investment solutions in Saudi A...

Supply@ME Capital (Supply@ME) announced that its  Shariah-Compliant Inventory Monetisation Platform has had its structure approved by the Shariah Scholar Board. Supply@ME, a fintech platform based in the United Kingdom, provides an  Inventory Monetisation Service (IMS) to European manufacturing and trading companies.  According to Supply@ME, following presentation to the Shariah Scholar Board, the functional and legal structure of Supply@ME’s Inventory Monetisation Service, was found to be in comp...

Indonesian secondary mortgage financing service provider, Sarana Multigriya Finansial (SMF) has announced plans to issue securities worth IDR 2 trillion, comprising of Sukuk amounting to IDR 100.01 billion and sustainable bonds with a value of IDR 1.9 trillion, according to local media reports.  The IDR 100.01 billion Sukuk issuance is part of the SMF’s Sustainable Sukuk Mudharabah I with a target fund of IDR 2 trillion. So far, the company has issued the first two parts of the Sukuk Mudharabah in 2019 and 2020, amounting to a value of ...

According to the United Nations Conference on Trade and Development (UNCTAD)’s Investment Trends Monitor report, foreign direct investments (FDI) into Malaysia dropped by 68% year-on-year (YoY) to USD 2.5 billion in 2020. According to the report, FDI in the whole of Southeast Asia decreased by 31% YoY in 2020 to reach US$107 billion, with Singapore falling by 37% YoY, Indonesia by 24% YoY and Vietnam by 10% YoY.   In Thailand, FDI dropped 50% YoY to USD 1.5 billion in...

The Malaysian Government is hoping to seek feedback from stakeholders, including industry players and foreign embassies in order to improve the recognition of Halal certification bodies abroad, according to local media reports.  Datuk Zulkifli Mohamad Al-Bakri, Minister in the Prime Minister’s Department (Religious Affairs) stated that the Government was keen on listening to views of stakeholders prior to outlining suitable standard operating procedures for the Halal certification process.  Speaking at a virtual media conference on the 25th of January 2021,&n...

Indonesian President Joko Widodo (Jokowi) launched the National Cash Waqf Movement (GNWU) and the 2021 Shariah Economic Brand at the State Palace on the 25th of January 2021, according to local media reports.  Jokowi stated that Indonesia has vast potential for Waqf, of both immovable and movable assets, while noting that the potential of Waqf assets reached IDR 2,000 trillion per year, and that the potential for cash Waqf in Indonesia could exceed IDR 188 trillion.  Jokowi emphasized the importance of developing Shariah financial institutions that a...

Global equities enjoyed considerable gains in the last quarter of 2020 (4Q 2020), gaining 15.9% year-on-year (YoY), as measured by the S&P Global BMI. Shariah-compliant benchmarks, including the S&P Global BMI Shariah and Dow Jones Islamic Market (DJIM) World Index, did not perform as well. Conventional counterparts outperformed during 4Q 2020 due to strong results in the conventional Financials sector, which saw gains of almost 25% YoY during the quarter.    In spite of this, Islamic indices finished in double-digits year-to-date (YTD), with the S&P Global BM...