Egypt-based finance investment firm Sarwa Capital is looking to issue EGP 2.5 million worth of Sukuk on behalf of its subsidiary, Contact Finance company, by mid-November 2020.  According to local media reports, the move to issue Sukuk comes after Sarwa Capital applied amendments requested by Egypt’s Financial Regulatory Authority (FRA), with sources claiming that the issuance will be finalised within two weeks after obtaining FRA approval.  The Sukuk issuance, which will be offered in one tranche with a maturity of sev...

The Government of Indonesia is targeting to raise IDR 2 trillion from the sale of retail green Sukuk - Savings Sukuk ST007 Series, in a bid to expand the retail investor base in the domestic financial market. Proceeds of the issuance of the Sukuk will be utilised to finance green projects in the state budget, according to local media reports.  The Savings Sukuk ST007 Series will be open to subscription from the 4th to 25th of November 2020 and will have a two-year tenure set to mature on the 10th of November...

The International Islamic Trade Finance Corporation (ITFC) is promoting Islamic finance to encourage inclusive economic growth among the business community in Uzbekistan, according to ITFC Chief Executive Officer, Hani Salem Sonbol.  In a recent media interview, Sonbol stated that the gradual investment of foreign Islamic banks could enable the use of diverse Islamic products and promote penetration of Islamic financial institutions in Uzbekistan.  Media reported that ITFC had first introduced Islamic trade finance to Uzbekistan in 2018, under a...

The Malaysian Government will present an expansionary 2021 Budget to ensure business continuity, economic revival and support to people amid the COVID-19 pandemic, according to Prime Minister Muhyiddin Yassin.  Speaking during a television interview on the upcoming 2021 Budget, Muhyiddin stated that the priority focus of the budget will be combatting the health perspective of the COVID-19 pandemic by channelling funds towards handling the pandemic and supporting front-liners. Other areas of focus in the upcoming budget will include supporting vulnerable individuals and mi...

Egypt’s Cabinet has approved a new sovereign Sukuk bill which will be submitted to the House of Representatives for approval, according to the country’s Minister of Finance, Mohamed Maait.  In a statement issued on the 4th of November 2020, Maait stated that Egypt is preparing to issue the country’s first sovereign Sukuk following approval of the Sukuk bill by the House of Representatives and ratification by the President, Abdel Fattah El-Sisi. Maait noted that the approval of the new Sukuk bill will enable Egypt to enter th...

Bridging the Gap Between OIC Markets: Post-Pandemic Strategies - Interview with Ayman Sejiny

Qatar Islamic Bank’s (QIB) long-term Issuer Default Rating (IDR) has received affirmation at ‘A’ by Fitch Ratings (Fitch), with a Stable Outlook.  The rating affirmation of QIB’s IDRs by Fitch are driven by the high probability of support from Qatar authorities to domestic banks if needed, which is reflected by Qatar’s sovereign rating (AA-/Stable) and its track record of supporting the banking sector due to strong reserves and revenue. Fitch noted that Qatar’s sovereign rating was also a driver of the Stable Outlook of QIB’s IDRs.&nbs...

Turkey-based personal care product manufacturer Evyap Group’s Malaysian subsidiary Evyap Sabun Malaysia (Evyap Malaysia) will be issuing an MYR 500 million Sukuk Wakalah programme, according to local media reports. Malaysian Rating Corporation (MARC) has assigned a preliminary rating of AA-IS with a Stable Outlook for the proposed Sukuk Wakalah programme. Evyap Malaysia owns and operates an integrated oleochemicals manufacturing plant in Tanjung Langsat, Johor, which commenced production in 2015, and has a plant production capacity of 380,000 metric tonnes...

The 7th Indonesia Shariah Economic Festival (ISEF) which was held virtually in 2020, has recorded transactions worth IDR 5.03 trillion, according to Bank Indonesia (BI), as reported in local media.  BI stated that the transactions consisted of financing agreements, business to consumer retail transactions, business to business transaction commitments, as well as productive waqf commitments.  According to Sugeng, Deputy Governor of BI, who was speaking at the closing ceremony of ISEF 2020 held on the 31st of October 2020, enthusiasm for the annua...

Monthly updates from IHS Markit revealed a dip in private sector business activity in the United Arab Emirates (UAE) during October 2020, marking the second decline recorded in three months.  A slower than anticipated recovery phase coupled with increased competition were the key reasons cited for the fall in sales during the month.  According to the report, new business orders fell for the first time since May 2020, whilst the 12-month outlook on business sentiment came in at a record low as firms maintain caution with regards to the impact of COVID-19 on business...