Plan for development of Islamic banking

Speaking at the opening session of the Islamic Finance News, Pakistan — Road Show on Islamic Banking, held at the State Bank on Tuesday, SBP Governor Yaseen Anwar said this plan lays down the future roadmap of the industry, highlights areas of improvement in legal, regulatory and taxation environments, emphasises diversification of products and markets covering non-traditional, but strategically important sectors of agriculture and SMEs and increasing Islamic banking market share to over 15pc of the country’s banking system during the next five years.

Mr Anwar said Islamic banking in Pakistan has witnessed significant growth during the last decade and now constitutes over 10 per cent of the country’s banking system with an asset base of over Rs900 billion and a network of more than 1100 branches.

“This expansionary trend is likely to continue and the industry is well set to double its market share by 2020,” he said.

The governor said that to further improve the Shariah compliance environment in IBIs, SBP’s Islamic Banking Department has completed industry consultations on the draft Shariah Governance framework and would soon be issuing the same.

The SBP has also played a vital role in raising awareness and building capacity of the industry.
To address the awareness and misconception issues, the SBP launched an awareness campaign that consists of seminars, conferences, targeted programmes and focused discussions for the business community, academia, bankers, and policy makers.

A recent significant milestone is the launch of a mass media campaign where the whole Islamic banking Industry joined hands under the ambit of SBP to target the challenge of misconceptions related to the Islamic banking business model and practices.

Mr Anwar emphasised the critical importance of investment in research and development particularly for the evolving sectors of Islamic finance.

The research and development is also needed to develop solutions for bringing monetary and fiscal policies and practices in conformity with Shariah principles.

The strategic plan for the next five years envisages a number of such initiatives and expressed the hope that the collaborative efforts by the regulator and practitioners would be instrumental in improving investment in R and D and developing better solutions for serving the financing needs of the real economy, he added.

He said the unprecedented growth of the Islamic finance industry can be associated to efforts of dedicated regulatory, Shariah, and academic institutions along with the presence of diversified players in the field, ie, Islamic banks, investment banks, takaful companies, Islamic fund management companies, and Islamic brokerage companies.

Malaysia Airports sets price guidance for RM500 million Islamic bond

 

Malaysia Airports Bhd (MAHB) has set the price guidance of its RM500 million nominal value senior sukuk or Islamic bond with settlement due early September, a term sheet showed today.
The five-year and three-year Islamic bonds from the Malaysian airport operator were priced in the range of 4.10% to 4.20% and 3.80% to 3.90% respectively.
The Islamic bond offering attracted a strong orderbook of more than RM1 billion, banking sources told Reuters, as Southeast Asia's biggest economies come under pressure from investors who have taken fright at signals the US Federal Reserve will wind down its monetary stimulus programme soon.

MAHB has mandated CIMB, Citi, HSBC and Maybank Investment as joint lead managers for the Islamic bond, which is part of a RM2.5 billion sukuk programme.

Malaysia has emerged as the world's biggest market for primary sukuk issuances, with its strong regulatory framework, low taxes and geographical proximity to expanding Asian wealth.
Societe Generale will launch a RM1 billion Islamic bond programme in Malaysia, becoming the second major European bank to issue sukuk and the first to do so in Asia, Reuters reported last week.

- Reuters, August 26, 2013.

Makkah to host Conference of Islamic Capitals and Cities

The 13th Conference of Islamic Capitals and Cities will be inaugurated in Saudi Arabia's Makkah city on September 1 under the patronage of the custodian of the two holy mosques King Abdullah bin Abdulaziz Al Saud.
More than 400 delegates of the 141-member Organisation of Islamic Capitals and Cities (OICC) are expected to participate in the conference, the Saudi Press Agency (SPA) said Tuesday.
It quoted Mayor of Makkah Osama bin Fadhel Al-Bar as saying that Saudi Arabia King's patronage of the three-day conference embodies his keenness on supporting the works of OICC to achieve sustainable development and preserve the cultural identity and heritage of the member capitals and cities.

Makkah to host Conference of Islamic Capitals and Cities

The OICC is an international non-governmental and non-profitable organisation with its headquarters located in Makkah and Jeddah cities.

Khazanah Nasional’s RM10b Islamic notes affirmed at AAA

KUALA LUMPUR: Khazanah Nasional Bhd has proposed to issue RM10bil multi-currency Islamic securities programme via Danga Capital Bhd, which is a trust-owned special purpose vehicle.
RAM Rating Services Bhd had on Monday reaffirmed the AAA rating of Danga Capital debt notes. It said the long-term rating has a stable outlook.

Danga, a trust-owned special purpose vehicle, had been incorporated for the sole purpose of facilitating the issuance of the Islamic securities programme (ISP).

“The rating reflects the credit strength of Khazanah Nasional, in its role as the purchase undertaking Obligor in this transaction. Proceeds from the ISP were utilised to purchase pools of identified Shariah-approved shares and/or assets from Khazanah.

“The company will top up any shortfall in the income generated by the Musyarakah venture. It has also undertaken to purchase specific portfolio units from Danga at a pre-agreed price upon maturity or a dissolution event,” it said.

RAM Ratings considered Khazanah as an extension of the government of Malaysia; the likelihood of extraordinary government support for the company if at all required is deemed indisputable.
This is based on Khazanah's strategic importance to the government given the company's interests in sectors that are strategically significant to the nation's economy and strong links with this sole shareholder.

Malaysian Islamic Arts Museum provides expansive insight

The Islamic Arts Museum in Malaysia is a must-visit for the culturally indulgent, as it is the largest Southeast Asian museum of Islamic arts. It boasts a spectacular collection of over 7,000 artifacts and relics celebrating the marvels that emerged from the Islamic world.

The museum has surpassed expectations in curating a collection that is representative of the entire Islamic world. Its gallery sections house works that represent their geographical origins from India, China and Malay, illustrating the multi-cultural diversity of Malaysia.

All formal institutional and architectural rigidities are shunned through its wide, open and airy floors, which rule the design mandate of the museum site spread over 30,000 square meters. It opens onto a white marble courtyard reminiscent of Mughal architecture – of which the Taj Mahal in India is a famous example.

The open space design scheme continued and maintained throughout the gallery lends a fresh, contemporary vibe to the museum and is a unique combination of modern design and traditional Iranian and Central architecture, with magnificent turquoise-colored domes dominating Kuala Lumpur’s city skyline.

The museum has galleries dedicated to precious items and articles according to themes, region and chronology: Arms and armor, ceramics, wood works, textiles, architecture, Qur’an and manuscripts, jewelry, India, China and Malay world, and coins and seal galleries which occupy two floors. An additional two floors are dedicated to hosting temporary exhibitions.

The India Gallery provides a unique and unprecedented look inside the private and social lives of Mughals. Their dynasty was established in 1526 and their reign influenced the social, religious, and political landscape of India, bringing Islamic architecture, art, and music into the fabric of the subcontinent.

Rare court portraitures of princes and princesses, bejeweled furniture and personal grooming articles, decorative ceramics, metal works, arms and armor provide a stunning look into the life of the Mughal royals and their domestic way of life.

The opulence of Indian jewelry replete with diamonds, rubies, emeralds, pearls, and semi-precious stones; and other trinkets from Central Asia, provide a glimpse into fashion trends prevailing in the tribal and royal circles from the Islamic world.

Rare Qur’an copies and manuscripts dating back as far as the 14th century and books, scripts and treatises in medicine, mathematics, astronomy and philosophy that added to the academic development of the Islamic world from Kashmir, Persia, Syria, Turkey and Morocco can be found on display.

The Southeast Asian gallery reflects the grand expertise of the artists of the period from 16-18th century through their calligraphy heavy Qur’anic art that also drew influence from traditional Chinese writing art forms.

The largest scale model in the world of the Holy Mosque of Makkah can be found here, including the recreation of the interiors of mausoleums of Timur and Amir Albukhari and the understated mosques in China and Southeast Asia.

The arms and armor gallery display two major categories of weaponry: firearms and edged weapons. Blades, barrels, swords, daggers, axes, maces and spears show a very high artistic dimension to the art of war through their jeweled beauty and intricate design forms, and mechanical effectiveness through ingenious workmanship used in battle during the reign of the Muslim empire stretching from Asia to Europe.

One can find a very exciting extension to the museum apart from the gallery and exhibits on display. This includes a museum restaurant that predominantly serves Middle Eastern cuisine. The restaurant décor runs in parallel to the understated architecture of the museum. The vibe is resplendent with Arabian and Persian elements and decorative motifs and opens onto a soothing Fountain Garden Courtyard outside.

Located on the ground floor is the Museum Shop that offers a unique selection of books, trinkets, postcards, souvenirs, apparel, paintings and other decorative items that are worth a buy. The store is a treasure-trove of exotic finds that is underlined with the theme of promoting Islamic art, from Southeast Asian woodwork for home decoration, to intricate middle-eastern jewelry, and books and writing diaries for the more lit-indulgent. A variety of products exclusively developed by the Islamic Arts Museum Malaysia are also available.

The museum also boasts a view terrace, a fountain garden, special galleries, an auditorium, a children’s library, and a scholar’s library, which can be accessed through appointment.
Until Nov. 20 the exhibition Al Haj: The Malaysian Experience, gives an overview of the key rites and necessary knowledge of the holy pilgrimage in an educational manner to equip aspiring pilgrims to undertake this once-in-a-lifetime experience. This is also to encourage the younger generation to undertake the pilgrimage.

Caprice Gold, Istanbul

 

CAPRICE GOLD ISTANBUL is the first hotel in the world to receive  IQS 7-Standard award

of Islamic Quality Standard (IQS).  Not only the hotel is luxury with excellence in quality and standard, but it is also in conformation with Islamic Principles as specified by USCS in the Islamic Quality Standard (IQS).

A Complete building of Jaemek Mosque with two minarets is also built as part of the Hotel project,

 in addition to another Jaemak Mosque in the Hotel Building itself. 

CAPRICE GOLD ISTANBUL PROJECT, which will be the Caprice Group second hotel with 1300 room’swith “7-Stars” equivalent luxury will cost about USD 330 million to construct [not including the land cost of22,000 square meters [4.5 acres]. This Hotel will be  the biggest city hotel in Europe which will start to operate by middle of 2014. 

There are 26 floors in total with 8 floors underground, including three A la Carte and two buffet   restaurantswith five Spa Centers that will serve with thirty five swimming pools.As mentioned before,Caprice Gold Projectwas awarded for IQS 7-Standard award which is the top level award, for its design. 

CAPRICE GOLD is located right in the heart of İstanbul  with important commercial buildings and   residential areas like:  “Mega Centre” and “Istanbul European Side Dried Food Wholesale Market, Forum Istanbul;  the biggest shopping complex in Turkey 

Rising on the site where once Fatih Sultan Mohammed Han situated his barracks during the conquering Istanbul, Caprice Gold, is also astonishing with her unique 3-tower architecture, inspired from Rumeli Citadel.

At the palace, where the facade works have been recently started; 13,000 m2 glass, 6,750 m2 granite, and 6,600 m2 crown metal, which previously used on restoration of dome of the rock, will be used. Including 53 elevators and 9 mobile platforms, Caprice Gold will be Europe’s largest city hotel. Although the construction, with a height of 70 m from bottom to top, reaches its peak point with Ulubatlı Hasan Tower, it is constructed in a respectful manner to the siluette of Istanbul by 40m height underground. By becoming the strongest building in Istanbul, Caprice Gold against a possible danger of an earthquake is both a good venture and a safe place to live. The palace’s towers, which will be serving to Istanbul and Turkey’s tourism with its 1300 Palace rooms, are now conquering the sky.