Majlis Ugama Islam Singapura (MUIS), Singapore’s sole domestic authority for Halal certification, has stated that Halal food firms in the country wishing to export their products need to ensure that their documentation remains consistent, particularly when trading with countries that have a strong Halal focus.  Speaking at a virtual webinar titled ‘Halal Perspectives: Opportunities in Times of Uncertainty’, MUIS Assistant Head of Assurance and Enforcement of the Halal Certification Strategic Unit, Nurul Hidayah Abubakar stated that there m...

Fitch Ratings has affirmed Saudi-based Alinma Bank’s (Alinma) Long-Term Issuer Default Rating (IDR) at BBB+, with a Negative Outlook. In addition, Alinma’s Viability Rating (VR) has been affirmed at ‘bbb’ and removed from Rating Watch Negative (RWN).  According to Fitch, ten Saudi Arabian banks’ VRs were placed on RWN in March 2020 amid heightened risks of severe weakening in the domestic operating environment following COVID-19 economic disruptions and the sharp drop in oil prices. The resolution of the RWN on A...

Malaysian Rating Corporation (MARC) has affirmed its AA-IS rating on MMC Corporation’s (MMC) MYR 2.5 billion Sukuk Murabahah Programme with a Stable Outlook.  MMC is a publicly listed Malaysian investment holding company that engages in utilities, ports, and logistics, as well as engineering and construction services via its subsidiaries. According to MARC, the main drivers of the rating are MMC’s strong ability to generate earnings through the company engineering, ports, and logistics segments, as well as steady earning...

The official distributor of Mazda cars and spare parts in Malaysia, Bermaz Auto (Bermaz), has announced the issuance of two Sukuk Wakalah Programmes totalling MYR 1 billion, according to a filing with Bursa Malaysia on the 18th of December 2020.  The Sukuk Programmes, based on the Shariah principle of Wakalah Bi Al-Istithmar, comprise of an Islamic seven-year Commercial Papers (ICPs) Programme of MYR 500 million, and an Islamic Perpetual Medium-Term Notes (IMTNs) Programme of MYR 500 million, subject to a combined aggregate lim...

The State Bank of Pakistan (SBP) has raised a total of PKR 63.027 billion in competitive and non-competitive bids of an auction of five-year Government of Pakistan Ijara Sukuk with variable rental rate (GIS-VRR) held on the 17th of December 2020, according to an SBP statement. The auction target for the GIS-VRR was PKR 35 billion, with the settlement date for the successful bids set for the 23rd of December 2020. According to the SBP statement, the competitive bids accepted in the GIS-VRR auction had a face value of PKR 62.630 billion and a realised va...

The combined state-owned Shariah bank, PT Bank Syariah Indonesia (BRIS) has issued confirmation that it will continue to support Indonesia’s Micro, Small and Medium Enterprises (MSME) sector. Lending to MSMEs is projected to reach IDR 53.83 trillion, from IDR 36.36 trillion as at September 2020, as stated by Ngatari, the Managing Director of BRIS. Ngatari noted that BRIS’ commitment towards the MSME sector is clearly laid out in the Merger Plan that has been published, with financing to continue via the People’s Business Credit (KUR)...

Qatar’s economy has shown unmatched progress in the region, indicated through a consistent rise in the Purchasing Manager’s Index (PMI), which increased to 52.5 in November 2020 (from 51.5 in October 2020 and 51.4 in September 2020), according to Thaddeus Malesa, Senior Economic Advisor at the Qatar Financial Centre. This was supported by a significant increase in new orders driven by improved operating conditions, strong business expectations, and realised transactions in the non-energy private sector.  Malesa also stated that Qatar’s LNG...

Malaysia’s gross domestic product (GDP) is now forecast to increase by 7.0% year-on-year in 2021, according to the latest estimates from the International Monetary Fund (IMF). In October 2020, the IMF had stated Malaysia’s 2021 real GDP growth rate expectation at 7.8% YoY. The IMF noted that the projected economic growth would be supported by domestic as well as external demand, citing recovery to be uneven across sectors. Growth into 2021 will continue to be driven by robust pandemic-led demand for personal protective equipment and electronics,...

Issues and Challenges of Waqf Practice in Malaysia: A ReviewIslam, Waqf, Zakat, Waqif

Malaysian Rating Corporation (MARC) has affirmed Bank Muamalat Malaysia’s (BMMB) financial institution (FI) ratings of A/MARC-1, as well as the AIS rating of the bank’s Islamic Senior Notes Programme (Senior Sukuk) of up to MYR 2 billion, with a Stable Outlook.  The FI ratings reflect BMMB’s modest size, robust capitalisation, moderate financial performance and weakening asset quality metrics. According to the rating agency, BMMB’s market share in Malaysia’s Islamic banking industry’s gross financing and total d...