Oman Arab Bank (OAB) has received regulatory approval from the Central Bank of Oman to proceed with its merger with Alizz Islamic Bank (AIB). The deal is expected to give OAB a stake of about 81% in the merged entity. OAB, which is a subsidiary of Oman International Development and Investment Company (Ominvest), inked a share swap agreement with Alizz Bank's Directors in January 2020. According to this agreement, AIB will become a fully-owned Islamic subsidiary of OAB, while the assets and liabilities of OAB’s own Islamic brand, Al Yusr, is expec...

Saudi Arabia's ACWA Power International (ACWA) aims to generate up to SAR 3.75 billion (USD 1 billion) through the auction of a Sukuk program, according to industry sources. Industry sources further added that ACWA is in talks with local banks in Saudi Arabia, regarding the potential Sukuk deal to be denominated in SAR. Funds generated through this auction are expected to be utilized towards the day to day purposes of the company. Earlier in January 2020, the Chief Executive Officer (CEO) of ACWA, Paddy Padmanathan, said that the sover...

Country Garden Real Estate (CGRE) issued MYR 495 million Sukuk in three tranches last month amidst the decline in the global economy and financial sector turmoil triggered by the COVID-19 outbreak. In a statement issued on the 21st of April 2020, CGRE highlighted that this issuance reflected the trust that Malaysia's financial markets have in both the Company and its long-term development in Malaysia. The Islamic Medium-Term Note (IMTN) Sukuk program of CGRE was set up in 2015 as the first ever MYR Sukuk t...

The Government guaranteed Islamic Mid-Term Notes (IMTN) Sukuk issued by SME Bank (SMEB) has been oversubscribed by 4.5 times and MYR 2.2 billion worth bids have been received against the issuance of MYR 500 million. Commenting on the oversubscription, SMEB’s Group President and Chief Executive Officer (CEO), Aria Putera Ismail, stated that the auction had attracted multiple financial institutions or asset management companies, indicating the affirmation of SMEB’s solid financial position, market presence and vital role in supporting and exp...

Indonesia absorbed IDR 9.98 trillion from a State Sukuk (SBSN) auction held on the 21st of April 2020. Total bids received during the auction reached up to IDR 18.84 trillion compared to IDR 18 trillion received during the previous edition of the issuance. This absorption surpassed the IDR 7 trillion estimated indicative target set by the Government of Indonesia for the auction. The aim of the auction was to fulfil the funding targets of the country’s 2020 State Budget (APBN). According to&...

The rating agency, Moody’s has retained Egypt’s ‘B2’ credit rating with a Stable Outlook. This rating has been backed by ‘A3’ economic strength, indicating the strength of Egypt’s financial and banking system with a low risk of default. Although the rating represents the country's broad and diversified economy with high growth prospects, Moody's rated Egypt with ‘B1’ for institutions and governance strength balances, adding that they are comparatively poor but improving, with vital&nb...

The Saudi Arabian Monetary Authority (SAMA) has granted its approval for nine more Fintech companies to operate in its Regulatory Sandbox, raising the total to thirty.  This new move comes on the back of SAMA's efforts towards digitalization of financial services and its move towards digital transformation in the financial sector. These efforts are in accordance with the requirements and objectives of the Financial Sector Development Program, one of Saudi Arabia's Vision 2030 programs. SAMA revealed that it had received 103 applic...

According to a survey conducted by the Socio-Economic Research Centre of the Associated Chinese Chambers of Commerce and Industry of Malaysia (ACCCIM), majority of respondents have suggested that they may require more than six months to recover from the impacts of the Movement Control Order (MCO) imposed by the Government of Malaysia, once it is lifted. The survey involved 916 business entrepreneurs and almost 90% of these participants have expected certain conditions of the MCO to remain enforced even after the MCO is officially denounced. This includ...

Seef Properties (SP) in Bahrain has entered into a BHD 4.5 million Shariah-compliant Murabahah facility arrangement with Bahrain's Ahli United Bank (AUB), to fund its working capital requirements. According to a statement on Bahrain Bourse (BHB), the Murabahah agreement will be for a period up to two years, while each drawdown will have a minimum tenure of six months and not more than twelve months from the drawdown date. The Murabahah facility is expected to strengthen SP&rsq...

Pelabuhan Tanjung Pelepas Sdn Bhd (PTP), a member of MMC Corp (MMC), is preparing to raise MYR 1.9 billion from a Sukuk issuance this year.  According to local media reports, the expected Sukuk issuance will be utilized towards refinancing the upcoming maturity of PTP’s MYR 1.5 billion Islamic medium-term notes Sukuk programme, which was raised to fund the port’s capacity expansion. PTP, a 70:30 joint venture between MMC and APM Terminals, has grown to be an integral part of MMC’s expansive ports and logistic business...