Standard Chartered Saadiq’s Chief Executive Officer (CEO), Mohd Suhaimi Abdul Hamid, stated that Small-Medium Enterprises (SMEs) are a key contributor to Malaysia’s overall economic growth, considering SMEs comprise around 95% of the country’s economy. He noted that financing is one of the key challenges faced by SMEs. Statistics from Bank Negara Malaysia show that only 54.1% of Halal businesses in Malaysia are bank-financed, and of this, less than one-fourth is in the form of Islamic financing.  There is also an increasing trend on the&...

BRF S.A., the world’s largest poultry exporter with a 12% global market share, stated that it has received approval to export as much as 5,000 tons of meat products per month, to Oman.  BRF which has a commercial presence in Oman for over 30 years, stated that Omani food safety and religious officials visited its facilities in Brazil in 2019.  The company has received fifteen permits in total, for facilities located across six states in Brazil. BRF further cited t...

Malaysian Rating Corporation (MARC) has affirmed its AAIS rating with a Stable outlook on the MYR 3 billion multi-currency Sukuk Murabaha of Fortune Premiere (FP), IOI Properties Group’s (IOI) funding vehicle.  The rating mainly comes on the back of IOI’s credit strength. Key factors contributing to IOIs credit-worthiness include its established brand name, strong track record in property development, and robust operating margins that provide a cushion against weaker sales performance. Downside risks to this rating include ...

The Egyptian Petrochemicals Holding Company (ECHEM) is planning to issue EGP 1 billion worth Sukuk, to source funding for on-going projects by its subsidiaries. Company sources stated that ECHEM is in the process of obtaining approvals for the issuance from the Financial Regulatory Authority (FRA) in Egypt and is also in negotiations with banks, yet unnamed, to manage the issuance. 2020 will see a host of Sukuk issuances in Egypt and this transaction would make ECHEM the first state-owned company to issue Sukuk. ...

Al-Salam Real Estate Investment Trust (REIT) plans to raise MYR 92.8 million through a proposed private placement, with AmInvestment Bank appointed as the Principal Adviser and Placement Agent for the transaction. Al-Salam REIT, which is managed by Damansara REIT Managers, will utilise the funds to pay off its bank borrowings and to finance capital expenditure investments as well as working capital requirements. The Chief Executive Officer of Damansara REIT Managers, Wan Azman Ismail, stated that with the repayment of borrowings worth MYR 64.96 million, Al-Salam RE...

President of the Pakistan China Joint Chamber of Commerce and Industry (PCJCCI), Zark Khan, noted that the coronavirus outbreak has drawn the world’s attention to the importance of food cleanliness and hygiene. He added that in the wake of the outbreak, Halal food has proven to be the best option particularly with meat-related food products, due to the cleanliness and disease-free aspects it adheres to. The PCJCCI President reiterated that the whole situation has opened up opportunities for firms operating within the Halal food&n...

Nigeria’s Debt Management Office is issuing NGN 150 billion in sovereign Sukuk to fund 44 highway projects that are currently in the works. Over 500 bridge and road projects are being undertaken by the Nigerian Government, to enhance infrastructure in the country.The President of Nigeria has prioritised road infrastructure projects, stating this as a prerequisite for any country’s socio-economic development.The Minister of State for Works and Housing, Abubakar Aliyu, stated that a paucity of funding has compelled the government to leverage alternative sources of funding to meet...

A new Halal law that was recently introduced in Indonesia requires the sourcing, handling, processing and labelling of all consumer products to be Halal-certified by 2024.  The Department of Trade and Industry (DTI) of Indonesia reports that the law is being enforced primarily on food and beverage products, with these Halal certifications providing consumers greater levels of trust and confidence.  The new law seeks to instil Islamic principles across a range of products, services and sectors including food production and distribution, cosmetic...

The Determinants of Micro, Small and Medium Enterpreneur (MSME) Become Customer of Islamic Banks (Religion, Religiousity and Location of Islamic Banks)Islam, Islamic banking

Bank Lending and Maturity: The Anatomy of the Transmission of Monetary PolicyParticipation