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Increasing contributor MALAYSIA: Standard Chartered Saadiq hopes to increase its contribution to its parent group’s total assets to 14% this year from 11% last year. To achieve the target, Azrulnizam Abdul Aziz, CEO and executive director, said the bank plans to open more branches and launch more innovative products. Standard Chartered Saadiq’s total banking assets as at the 31st December 2009 stood at RM4.8 billion (US$1.5 billion).

"Increasing contributor"

MALAYSIA: Standard Chartered Saadiq hopes to increase its contribution to its parent group’s total assets to 14% this year from 11% last year. To achieve the target, Azrulnizam Abdul Aziz, CEO and executive director, said the bank plans to open more branches and launch more innovative products.
Standard Chartered Saadiq’s total banking assets as at the 31st December 2009 stood at RM4.8 billion (US$1.5 billion).

"Competitive edge"

INDONESIA: The country may provide tax incentives for Sukuk issuances and Islamic bank deposits to better compete with Malaysia.
According to Mulya E Siregar, Islamic banking director at Bank Indonesia, the tax incentives being considered will help boost banking capital, while the other can provide a tax holiday for Sukuk issues.
Indonesia’s Islamic bank assets stood at IDR66 trillion (US$7.2 billion) as of December 2009 while Malaysia’s Islamic banking assets totaled US$95 billion for the same period.

"Principal owner"

THAILAND: The Islamic Bank of Thailand will become the major shareholder of Nava Leasing with a 49% stake, said the firm’s managing director Nantaphol Pongspaibool. According to Pongspaibool, Nava Leasing will maintain its focus on the leasing business in spite of the takeover, and will open more branches in the south to accommodate Muslim clients.

"Offers refused"

INDIA: The Kerala state government has refused bids by Reliance Capital, Doha Bank and members of royal families from West Asia to buy into a non-banking financial company (NBFC) based on Shariah principles. The state government is reported to not want any one individual or company owning more than 20% of the NBFC’s equity. Reliance Capital had offered to invest up to 74% of the paid-up capital while Doha Bank had offered to buy 40%, according to minister for industries Elamaram Kareem.

"Bids turned down"

INDONESIA: The finance ministry has rejected all incoming bids worth a total of IDR1.2 trillion (US$129.6 million) at its five year based Sukuk auctions, as debt woes in Europe prompted investors to demand higher yields.
According to the ministry, investors asked for profit rates of 8.81% to 9.5%, well above the 8.5% profit rate offered on comparable conventional government bonds.
The ministry, which aimed to raise IDR1 trillion (US$110 million) from the auctions to help fund the state budget deficit, did not cite its reasons for rejecting the bids.

"Bidding war"

SINGAPORE: Malaysia based Khazanah Nasional’s subsidiary, Integrated Healthcare, and India-based Fortis Healthcare are both increasing their stakes in Singapore healthcare group Parkway Holdings ahead of a predicted takeover battle.
Khazanah Nasional may sell as much as SG$500 million (US$345 million) of Sukuk if its SG$1.18 billion (US$835 million) takeover bid is succesful.

"Situation report"

UAE: The Dubai government will meet with European investors to update them on current economic developments in the country.
Dubai’s department of finance said the meeting will not be used to promote bonds but will be a continuation of the investor update program it launched last year.
As part of its debt restructuring plans, the emirate was successful in raising US$6.5 billion last year.

"International collaboration"

MALAYSIA: Local financial institutions have been urged to seek international cooperation to boost their Islamic wealth management services. According to second finance minister Ahmad Husni Mohamad Hanadzlah, Malaysia did not have the crucial branding to promote its products and services internationally despite having the technical expertise in Shariah compliant investment.