CIMB Islamic Bank Berhad (CIMB Islamic) and Standard Chartered Saadiq Berhad have entered an MYR 1 billion (USD 227 million) sustainable Collateralised Commodity Murabahah (CCM) deal, as announced jointly by the entities on the 20th of June 2022. Why it Matters? The proceeds from the transaction will be used to fund selected Shariah-compliant assets or projects that fall within the scope of CIMB Group's Sustainable Development Goals (SDGs) Bond and Sukuk Framework.Details  CIMB’s bond and Sukuk Framework adheres to the International Capita...

The National Mortgage Corporation of Malaysia, Cagamas Berhad (Cagamas), has announced the successful pricing of three-year Islamic Medium-term Notes (IMTNs) worth MYR 100 million (USD 23 million) for the procurement of house financing from the financial system, as per a statement made on the 20th of June 2022. Why it Matters?  The offering, completed through a private placement, was priced at 40 basis points (bps) higher than the Malaysian Government Investment Issues. The offering preceded the US Federal Reserve’s (Fed) predicted interest rate hike as part...

Bahri, formerly known as the National Shipping Company of Saudi Arabia (NSCSA), has begun the issuance of Sukuk denominated in Saudi Riyal, totalling SAR 3.9 billion (USD 1.04 billion). Why it Matters? Proceeds from the issuance will be used to refinance the company's existing Sukuk, expected to mature in July 2022. The offering began on the 16th of June 2022 and is set to end on the 21st of July 2022. Details  The selected lead managers and book runners for the offering are Al Rajhi Capital, HSBC Saudi Arabia, and SNB Capital Company. Established in 1978 by...

Pakistan-based MCB Islamic Bank Limited (MCB Islamic) has received a capital injection of PKR 4 billion (USD 19.1 million) from the entity’s parent company, MCB Bank Limited (MCB).Why it Matters?  Through this capital inflow, MCB Islamic will meet regulatory capital needs and its aggressive expansion goals, which include branch expansion, increased lending capacity, and the development of innovative financial services and digital banking solutions. The injection underlines MCB's faith in the Islamic banking industry and its subsidiary's ability to lead the market in th...

United Arab Emirates’ Abu Dhabi Islamic Bank (ADIB) has announced the launch of its first Application Programming Interface (API) developer portal, which will allow fintech developers to create their own applications using the entity’s APIs, as per a statement issued on the 14th of June 2022. Why it Matters? The new platform highlights ADIB's embrace of the opportunities found in open banking, which has the ability to transform the sector and the way individuals handle their money and conduct business. It will allow fintech companies to create new solutions that...

Kingdom of Bahrain- (Bahrain) based Al Baraka Banking Group’s (ABG) Board of Directors has given its approval for the appointment of Houssem Ben Haj Amor, Deputy Chief Executive of Business Development and Investments, as Acting Group Chief Executive Officer (CEO), as per an announcement made on the 16th of June 2022. Why it Matters?  The appointment was made on the 15th of June 2022, during the entity's meeting, which was chaired by Sheikh Abdullah Saleh Kamel, and will take effect on the 1st of July 2022, subject to approval by the Central Bank of Bahrain. Houssem will su...

The Government of Pakistan (GOP) has identified Islamabad International Airport as a new asset to be added to the transaction structure of the GOP Ijara Sukuk (GIS) when the Sukuk is reopened, according to a circular issued via the Domestic Markets & Monetary Management Department (DMMD) by the State Bank of Pakistan on the 15th of June 2022. Why it Matters?  According to the document, existing assets mentioned in the Sukuk structure included Allama Iqbal International Airport and Multan International Airport, which can be used for fresh issuances as well as for the re-o...

Indonesia-based Permodalan Nasional Madani Ventura Syariah (PNM Ventura Syariah) has announced the issuance of IDR 312.7 billion (USD 21.2 million) worth of Medium-Term Sukuk Mudharabah II Year 2022. Why it Matters? The Sukuk will have a tenure of three years and are to be issued with no public offering period. A floating profit-sharing rate has also been offered by PNM Ventura Syariah to be paid on a monthly basis. Details  The appointed monitoring agent for the offering is Bank Pembangunan Daerah Jawa Barat dan Banten Tbk (Bank BJB), formerly known as Bank Jabar...

The Indonesian government has raised IDR 5.1 trillion (USD 347.29 million) in a Sukuk auction held on the 14th of June 2022, according to the Ministry of Finance. Why it Matters? The amount raised fell short of an indicative target of IDR 9 trillion, with total incoming bids amounting to IDR 15.13 trillion, compared to IDR 20.21 trillion in the preceding Sukuk auction conducted on the 31st of May 2022. When compared to similar notes in the previous auction, the Sukuk had a greater yield. Details  On the 25th of May 2022, Indonesia sold USD 3.25 billion worth of 5-y...

The Sultanate of Oman’s (Oman) Meethaq Sukuk Company has announced the full redemption of Meethaq Sukuk Series 1, totalling OMR 44.6 million (USD 116 million), issued under Meethaq Sukuk Al Musharaka Programme, according to a statement by Bank Muscat on the Muscat Securities Exchange on the 14th of June 2022.  Why it Matters?  The Sukuk, which was issued on the 13th of June 2017, was repaid on the 13th of June 2022, its contractual maturity date. Meethaq Sukuk Company, to date, has issued Meethaq Sukuk Series 1 and Meethaq Sukuk Series 2 under the Meethaq Sukuk Al...