The Institute of International Finance (IIF) anticipates an economic recovery for the United Arab Emirates (UAE) with gross domestic product (GDP) forecast at 3.1% for 2021. This follows a revised estimate of a 5.7% contraction in GDP expected for 2020, deeper than predicted by the IFF in March 2020.  IIF’s Chief Economist for the Middle East and North Africa region, Garbis Iradian, noted that Dubai’s economy could contract by at least 8.0% in 2020, at a faster rate to the Emirate of Abu Dhabi, given its exposu...

Malaysia’s 2021 Budget, expected to be tabled in the first week of November 2020, aims to provide additional support and assistance to many vulnerable groups within the population that have been affected due to the economic effects of COVID-19. This is despite various stimulus packages already having been provided by the Government of Malaysia, according to Malaysia’s Prime Minister, Tan Sri Muhyiddin Yassin. Speaking at a press conference on the 13th of October 2020, Yassin explained that the 2021 Budget would be centred around four main t...

  ORMAS ISLAM DAN KEBIJAKAN PUBLIKOleh Shofwan KarimPekan ke-3 Ramadhan, (20/6/16) lalu, Ketua Komisi V DPRD Provinsi Sumbar, Apris Yaman mengundang Muhammadiyah untuk diskusi Ramadhan bertajuk Aktualisasi Peran Muhammadiyah di dalam Penentuan Kebijakan Publik di Sumbar. Pada diskusi itu kebijakan public yang dimaksud tampaknya disimplifikasikan kepada keikutsertaan Muhammadiyah memberikan masukan kepada Dewan di dalam membahas Rancangan Peraturan Daerah (Ranperda). Intinya tentu kebijakan tentang regulasi, apapun tingkatannya. Padahal di sisi lain, kebijakan public tidaklah se...

IslamicMarkets LIVE Briefing Note: Role Of Islamic Banks In Serving Local Communities And Promoting Inclusion - Ahmad Shahriman Shariff (CIMB Islamic CEO)

RAM Ratings (RAM) has reaffirmed the AA2/Stable rating of First Resources Limited’s (FRL) MYR 2.0 billion Sukuk Musharakah Programme (2012/2022) according to a recent statement.  FRL is a Singapore-headquartered palm oil producer with operations in Indonesia. As one of the world’s top 10 listed plantation firms with 212,702 hectares of planted area as at June 2020, FRL’s long-term growth depends on its expanding mature hectarage and young trees, according to RAM.  RAM’s reaffirmation reflects FRL&...

United Arab Emirates investment banking firm Shuaa Capital (Shuaa) has launched a USD 200 million fund targeting investments in senior, mezzanine and uni-tranche Shariah-compliant financing for corporates and developers operating in the Gulf Cooperation Council (GCC).  The Shuaa Financing Opportunities Fund, which is a closed-ended fund with a four-year tenure, is the company’s first dedicated financing fund, and received USD 68 million in commitments from investors, according to a statement released by Shuaa on the 11th of Oc...

The Sultan of Oman, Haitham bin Tariq Al-Said, issued a decree on the 12th of October 2020 to implement a 5% value-added tax (VAT) within the next six months.  According to Oman News Agency, the VAT law would be imposed on most goods and services, with some exceptions. The VAT will be applicable fully on tobacco and its derivatives, energy drinks, alcoholic beverages and pork, while 50% will be applied to soft drinks based on retail price. The Government of Oman has stated that the VAT implementation will have a ‘limited impact’ on the cost of living. O...

Finance Minister, Tengku Zafrul Aziz, has stated that Malaysia’s economy is projected to grow by up to 8% in 2021, making the country an attractive option for firms to invest in and capitalise on.   Speaking at the 2020 Malaysian Economic Summit on the 12th of October 2020, Tengku Zafrul added that the Government of Malaysia remained committed to supporting businesses including small and medium enterprises and mid-tier companies, as well as upgrading the gig economy to mitigate the economic impact of the COVID-19 pandemic. The need for collaborat...

Saudi Arabia’s biggest Shariah-compliant lender, National Commercial Bank (NCB), announced plans to merge with Samba Financial Group (SFG), in a deal expected to create the third-largest banking entity in the Middle East with combined assets worth USD 223 billion (amounting to roughly one-third of Saudi Arabia’s total banking sector assets).  Subject to required regulatory and shareholder approvals, the merger is expected to be completed in 2021, with the new bank holding around a 25% market share of retail and corporate banking in Saudi Arabia.  U...

Indonesia’s state-owned PT Bank BNI Syariah, PT Bank Rakyat Indonesia Syariah, and PT Bank Syariah Mandiri have entered into a Conditional Merger Agreement (CMA), the signing of which initiates merger plans which are anticipated to be completed in 2021. The merged entity is expected to hold a very strong asset base, with Bank Syariah Mandiri recording assets of IDR 112.1 trillion, BNI Syariah IDR 49.97 trillion, and BRI Syariah IDR 51.8 trillion, as of August 2020. Whilst the signing of the CMA was witnessed by Directors and s...