The discovery of pig DNA in two varieties of Cadbury's chocolate in Malaysia has spread beyond to other brands owned by the same parent, as well as beyond Malaysia's shores to Indonesia, an even larger market for halal products.
On 31 May, the Jakarta Post reported that the national Food and Drug Monitoring Agency (BPOM) is testing 13 Cadbury products licensed for import into Indonesia, including eight chocolate varieties. The products do not include the two which were found to be contaminated in Malaysia, but there is concern that the Malaysian varieties may have been smuggled into the country, the report said.
The tests follow independent tests carried out by the Indonesian Ulema Council (MUI) on 10 products, none of which were found to harbour pig DNA, said the newspaper.
A Reuters story on May 30 quoted the halal certification body in Malaysia, JAKIM, as emphasising that Cadbury has not been proven guilty as yet as the contamination may have occurred due to external factors.
On 29 May, Channel NewsAsia reported that the Malaysian Muslim Wholesellers and Retailers Association has asked their 800 members to take Mondelez brands off their shelves. Kraft bought Cadbury in 2010 and later split into the Kraft Foods Group, which is focused mainly on grocery products for the
North American market, and Mondelēz, an international distributor of
Kraft Foods snacks and confectionery brands. Mondelez International is listed as Cadbury's owner.
The National Fatwa Council weighed in on the controversy here.
Saturday, 31 May 2014
Friday, 30 May 2014
Malaysia's National Fatwa Council rules Cadbury chocolate still halal
A report from the Star on 29 May stated that Cadbury products, which were confirmed as 'halal' before they were
claimed to contain porcine DNA, are still deemed so and can be consumed
by Muslims, according to the National Fatwa Council.
The Star referred to a statement from the council on the same day which said: "The ruling on the product refers to the original ruling, which is halal for consumption, as the contamination was beyond the scope of control and difficult to avoid."
The original story broke on 24 May.
The Star referred to a statement from the council on the same day which said: "The ruling on the product refers to the original ruling, which is halal for consumption, as the contamination was beyond the scope of control and difficult to avoid."
The original story broke on 24 May.
AmMetLife and AmMetLife Takaful branding launched
AmBank Group has unveiled the new brand names of AmMetLife and AmMetLife Takaful, breathing new life into the life assurance and family takaful businesses in Malaysia resulting from the strategic partnership between the AmBank Group and MetLife. The new companies will develop innovative, life assurance and family takaful solutions in five key areas, leveraging best practices and global
standards:
• Education – Saving for your children’s future
• Protection – Protecting your family
• Health – Taking care of your health
• Wealth – Saving for your dreams
• Retirement – Planning for your retirement
The AmBank Group has nearly 40 years’ experience in understanding Malaysian
customers in both conventional and Islamic banking, while MetLife brings its financial strength, global reach, expertise and customer-centric approach to the table.
Tan Sri Azman Hashim, Chairman of AmBank Group and AmLife Insurance said, “With this partnership with MetLife, Inc., we hope to further enhance and grow the scale and sophistication of the life assurance and family takaful businesses in Malaysia, with the ultimate aim of providing greater and better choice in improving the lives of Malaysians.”
Dato’ Dr. Nirmala Menon, Head of Designated Markets and Health, MetLife Asia, “With our new partner, we are confident that the new brands of AmMetLife and AmMetLife Takaful will better serve our customers’ needs across their various life stages. We will do this through innovation in solutions that will make it easier for customers to do business with us and simpler for families and individuals to achieve their financial security, allowing them to pursue more from life.”
The strategic partnership between AmBank and MetLife was reported here.
Thursday, 29 May 2014
KSA inbound tourism expenditure grew at a CAGR of nearly 15% from 2009 to 2013
While religious tourism is the main incentive of travel to Saudi Arabia, only 40.6% of the 17 million tourists who visited the kingdom in 2013 did so for religious reasons, according to Saudi Tourism and Antiquities Committee (SCTA) data, says Timetric's Travel and Tourism in Saudi Arabia to 2018 report, which is hosted by Research & Markets.
Inbound tourism expenditure reached SAR58.5 billion (US$15.6 billion) in 2013, fuelled by countries with large Muslim populations. The presence of the Islamic holy sites Mecca and Medina underpin this demand, particularly during the annual Hajj pilgrimage. The number of international arrivals rose from 10.9 million in 2009 to 13.2 million in 2013, at a CAGR of 5%. Inbound tourist expenditure increased at a CAGR of 14.62%, from SAR34 billion (US$9 billion) in 2009 to SAR58.5 billion (US$15.6 billion) in 2013.
Inbound tourism expenditure reached SAR58.5 billion (US$15.6 billion) in 2013, fuelled by countries with large Muslim populations. The presence of the Islamic holy sites Mecca and Medina underpin this demand, particularly during the annual Hajj pilgrimage. The number of international arrivals rose from 10.9 million in 2009 to 13.2 million in 2013, at a CAGR of 5%. Inbound tourist expenditure increased at a CAGR of 14.62%, from SAR34 billion (US$9 billion) in 2009 to SAR58.5 billion (US$15.6 billion) in 2013.
Wednesday, 28 May 2014
AIBIM to organise fourth Global Islamic Finance Forum in KL
The
Association of Islamic Banking Institutions Malaysia (AIBIM) will
organise the fourth Global Islamic Finance Forum (GIFF 2014) in Kuala
Lumpur from 2 to 4 September 2014 in support of Malaysia International Islamic Financial Centre (MIFC) initiatives.
Themed "Marketplace for Global
Linkages", this forum aims to discuss the opportunities
that Islamic finance can offer the global financial community by
bringing together global Islamic financial industry players, market participants, shari'ah
scholars and regulators.
Events at GIFF 2014 include a Regulators Forum, International Islamic Capital Markets Forum, Islamic Banking & Finance Conference, CEOs Dialogue (Banking and Takaful), Executive Master Class, Islamic Finance Colloquium, and Islamic Venture Capital & Private Equity Symposium. Fringe events will include exhibitions from local and international organisations, networking sessions and private business meetings.
In view of the growing global interest in Islamic finance, GIFF 2014 is expected to draw interest from chairmen, CEOs and top level management local and international participants from the Middle East, European and Asian countries.
Supporting organisations for the event include Bank Negara Malaysia, the Securities Commission Malaysia, Malaysian Takaful Association (MTA), International Centre for Education in Islamic Finance (INCEIF), International Shariah Research Academy for Islamic Finance (ISRA) and IBFIM, an industry-owned institute dedicated to training personnel for the Islamic finance industry.
Attendance is by invitation only but open to those who register online and have an active interest in the industry. Click here to register.
Events at GIFF 2014 include a Regulators Forum, International Islamic Capital Markets Forum, Islamic Banking & Finance Conference, CEOs Dialogue (Banking and Takaful), Executive Master Class, Islamic Finance Colloquium, and Islamic Venture Capital & Private Equity Symposium. Fringe events will include exhibitions from local and international organisations, networking sessions and private business meetings.
In view of the growing global interest in Islamic finance, GIFF 2014 is expected to draw interest from chairmen, CEOs and top level management local and international participants from the Middle East, European and Asian countries.
Supporting organisations for the event include Bank Negara Malaysia, the Securities Commission Malaysia, Malaysian Takaful Association (MTA), International Centre for Education in Islamic Finance (INCEIF), International Shariah Research Academy for Islamic Finance (ISRA) and IBFIM, an industry-owned institute dedicated to training personnel for the Islamic finance industry.
Attendance is by invitation only but open to those who register online and have an active interest in the industry. Click here to register.
Tuesday, 27 May 2014
IBFIM allows industry to trial Islamic finance e-learning platform
IBFIM launched its first online education platform, IBFIM Online, in April. Aimed at the Islamic finance industry, IBFIM Online offers students the flexibility to access training materials in their own time, place and pace.
Dato' Dr. Adnan Alias, IBFIM's Chief Executive Officer said during the launch: "As a start we will provide limited complimentary access to the industry to experience the system. If they feel the programme matches their desired requirements then they can have the option of subscribing fully on a personal basis or via their employers."
Dato' Dr. Adnan Alias, IBFIM's Chief Executive Officer said during the launch: "As a start we will provide limited complimentary access to the industry to experience the system. If they feel the programme matches their desired requirements then they can have the option of subscribing fully on a personal basis or via their employers."
Monday, 26 May 2014
Pakistan has a very large opportunity in the halal market
Delegates at the 3rd International Halal Conference and Expo in Pakistan believe that there is much room for Pakistan to grow in the halal market, the Nation has reported on May 24. According to the article, Pakistan’s share of the estimated US$3 trillion halal market is near zero currently.
Delegates also shared that Pakistan ranks 18th in the production of halal meat, producing nearly 3% of global halal meat volumes, which are worth as much as $300 billion.
The halal market covers food as well as pharmaceuticals, cosmetics, healthcare, toiletries and interest-free banking, the Nation said.
Delegates also shared that Pakistan ranks 18th in the production of halal meat, producing nearly 3% of global halal meat volumes, which are worth as much as $300 billion.
The halal market covers food as well as pharmaceuticals, cosmetics, healthcare, toiletries and interest-free banking, the Nation said.
Sunday, 25 May 2014
Halal Middle East Exhibition & Congress to be held December in Sharjah
The third Organisation of Islamic Cooperation (OIC) Halal Middle East Exhibition & Congress,
from 8 to 10 December at Expo Centre Sharjah, is the only exhibition of its kind in the region. This year, the event
will be adding halal pharmaceuticals, halal services, halal ingredients
and halal finance to its scope.
The Halal Congress Middle East, jointly organised by Expo Centre Sharjah and the Halal Development Council of Pakistan, is an international gathering for food producers, exporters and importers, dealers and distributors and industry stalwarts to share up-to-date information on halal products; discuss issues facing the industry; explore opportunities that exist is each others’ markets; evaluate compliance, certification and standards; and look out for investment and joint venture opportunities in the UAE.
Global attention is on the UAE as the Emirates Authority for Standardization and Metrology (ESMA) is working on unified standards for halal food and cosmetics, which, once approved by the OIC, will be introduced in all Islamic countries in the near future.
The global halal industry is also keenly watching the developments in the Gulf Cooperation Council (GCC), which had announced that they are considering making it mandatory for all meat imported into the region to carry a halal stamp.
A set of guidelines for halal certification bodies in the UAE is also in the works, apart from a unified code for halal products that is valid for the whole of GCC.
 |
| Source: Halal Middle East website. |
The Halal Congress Middle East, jointly organised by Expo Centre Sharjah and the Halal Development Council of Pakistan, is an international gathering for food producers, exporters and importers, dealers and distributors and industry stalwarts to share up-to-date information on halal products; discuss issues facing the industry; explore opportunities that exist is each others’ markets; evaluate compliance, certification and standards; and look out for investment and joint venture opportunities in the UAE.
Global attention is on the UAE as the Emirates Authority for Standardization and Metrology (ESMA) is working on unified standards for halal food and cosmetics, which, once approved by the OIC, will be introduced in all Islamic countries in the near future.
The global halal industry is also keenly watching the developments in the Gulf Cooperation Council (GCC), which had announced that they are considering making it mandatory for all meat imported into the region to carry a halal stamp.
A set of guidelines for halal certification bodies in the UAE is also in the works, apart from a unified code for halal products that is valid for the whole of GCC.
Saturday, 24 May 2014
Cadbury Malaysia responds to Ministry of Health findings on pig DNA in its products
Update 27 May: According to the New Straits Times, various government agencies in Malaysia are now involved in investigations: the Health Ministry will be analysing all products from Cadbury Confectionery Malaysia; the Islamic Development Department says that Cadbury's production chain is being checked, while the Domestic Trade, Cooperatives and Consumerism department has warned that companies which are still selling the two Cadbury products in question will face a fine of up to RM100,000 or three years' jail, or both, if
convicted.
Update 26 May: Singapore's Agri-food and Veterinary Authority (AVA) has stated that the affected chocolate batches were not imported into Singapore and that it will carry out its own investigations, Channel NewsAsia said.
24 May: Cadbury Malaysia responds to Ministry of Health findings on pig DNA in its products
Cadbury Confectionery Malaysia responded quickly to a report from the Ministry of Health in Malaysia on its Facebook page and on Twitter, saying that it is recalling the affected products.
"We were informed that Cadbury Dairy Milk Hazelnut (with batch number
200813M01H I2 that expires on Nov 13, 2014) and Cadbury Dairy Milk Roast
Almond (with batch number 221013N01R I1 that expires on Jan 15, 2015)
analysed by Ministry of Health tested positive for traces of porcine
DNA. We have taken immediate action by recalling the products from the
above two batches. No other Cadbury chocolates are affected by this test," the company stated.
"We are undertaking a full review of the supply chain to ensure all quality standards continue to be met. We would like to reassure our consumers that all Cadbury chocolates manufactured in Malaysia are halal-certified by JAKIM, which includes the locations and raw materials used in the production of these products. We employ stringent quality procedures to ensure that our products are of the highest standard of safety and quality. Thank you for your continued support of Cadbury."
Ministry Director-general Datuk Dr Noor
Hisham Abdullah of the Ministry of Health said in a statement on May 24 that tests had been conducted following
speculation on social media on May 23 alleging that the chocolates
contained porcine DNA.
Two samples out of three had tested positive for pig DNA, with the third of Cadbury Dairy Milk testing negative.
Jakim, which the halal certification authority in Malaysia, has on its part issued a statement that it is withdrawing halal certification from both products for the time being.
A story from the Star quoted Jakim Director-general Datuk Othman Mustapha from the statement on Jakim's Facebook page, which noted that Cadbury had passed halal certification checks in February.
“We will conduct a thorough investigation to determine the cause behind the product’s contamination,” Datuk Othman said in the Star report.
While all parties have acted very quickly on the matter, there are still a lot of questions remaining. Since Cadbury has a wide range of confectionery the question remains whether other batches of Cadbury hazelnut and almond chocolate; other flavours or products might be affected. And if the contamination occurred after the confectionery had left the factory, any other halal-certified product might also be at risk.
Update 26 May: Singapore's Agri-food and Veterinary Authority (AVA) has stated that the affected chocolate batches were not imported into Singapore and that it will carry out its own investigations, Channel NewsAsia said.
24 May: Cadbury Malaysia responds to Ministry of Health findings on pig DNA in its products
Cadbury Confectionery Malaysia responded quickly to a report from the Ministry of Health in Malaysia on its Facebook page and on Twitter, saying that it is recalling the affected products.
 |
| Source: Cadbury Malaysia Facebook page |
"We are undertaking a full review of the supply chain to ensure all quality standards continue to be met. We would like to reassure our consumers that all Cadbury chocolates manufactured in Malaysia are halal-certified by JAKIM, which includes the locations and raw materials used in the production of these products. We employ stringent quality procedures to ensure that our products are of the highest standard of safety and quality. Thank you for your continued support of Cadbury."
 |
| Source: JAKIM Facebook page. |
Two samples out of three had tested positive for pig DNA, with the third of Cadbury Dairy Milk testing negative.
Jakim, which the halal certification authority in Malaysia, has on its part issued a statement that it is withdrawing halal certification from both products for the time being.
A story from the Star quoted Jakim Director-general Datuk Othman Mustapha from the statement on Jakim's Facebook page, which noted that Cadbury had passed halal certification checks in February.
“We will conduct a thorough investigation to determine the cause behind the product’s contamination,” Datuk Othman said in the Star report.
While all parties have acted very quickly on the matter, there are still a lot of questions remaining. Since Cadbury has a wide range of confectionery the question remains whether other batches of Cadbury hazelnut and almond chocolate; other flavours or products might be affected. And if the contamination occurred after the confectionery had left the factory, any other halal-certified product might also be at risk.
Friday, 23 May 2014
Bai' 'inah ruling may serve to bring Islamic banking in Malaysia and the Gulf closer together
Malaysia's Securities Commission has published new rules for bai' 'inah, a type of Islamic financing contract, in a move that may see Malaysia and the Gulf states converge with regards to shari'ah-compliant banking, Reuters reports.
Bai' 'inah is controversial as in one version of it, a financial institution or individual could contract to sell a borrower an item on credit, but the borrower does not get to keep the item as the institution then buys that item back for a lower amount in cash. The person ends up with some cash, just as if it were a loan, but has to pay the agreed selling price to the financial institution, just as if the difference between the two prices were interest on the loan.
In other versions, the borrower may be entitled to keep the item and have the option to resell it back to the institution.
According to Reuters, Islamic banks from the Gulf tend not to offer bai' 'inah, whereas it is quite common in Malaysia. Agrobank's Agrocash-i, AmBank's Personal Financing-i, HSBC's Amanah Personal Financing-i and Term Financing-i products, and Maybank Islamic's ExeCash-i are all examples of Islamic financing under the bai' 'inah principle.
Reuters said that the new rules do not ban bai' 'inah but make compliance more demanding, ultimately encouraging a shift towards other forms of Islamic financing.
An explanation of the bai' 'inah controversy is here and comments on developments in 2012 here. A list of Islamic capital market statistics for Malaysia can be viewed here.
Bai' 'inah is controversial as in one version of it, a financial institution or individual could contract to sell a borrower an item on credit, but the borrower does not get to keep the item as the institution then buys that item back for a lower amount in cash. The person ends up with some cash, just as if it were a loan, but has to pay the agreed selling price to the financial institution, just as if the difference between the two prices were interest on the loan.
In other versions, the borrower may be entitled to keep the item and have the option to resell it back to the institution.
According to Reuters, Islamic banks from the Gulf tend not to offer bai' 'inah, whereas it is quite common in Malaysia. Agrobank's Agrocash-i, AmBank's Personal Financing-i, HSBC's Amanah Personal Financing-i and Term Financing-i products, and Maybank Islamic's ExeCash-i are all examples of Islamic financing under the bai' 'inah principle.
Reuters said that the new rules do not ban bai' 'inah but make compliance more demanding, ultimately encouraging a shift towards other forms of Islamic financing.
An explanation of the bai' 'inah controversy is here and comments on developments in 2012 here. A list of Islamic capital market statistics for Malaysia can be viewed here.
Thursday, 22 May 2014
Meezan Bank deploys energy-savvy ATMs
Diebold and its distributor TouchPoint are deploying 50 energy-efficient Diebold 429 automated teller machines (ATMs) for Pakistan's first and largest Islamic commercial bank.
Based in Karachi, Pakistan, Meezan Bank is the 8th largest bank in
Pakistan in terms of branch network, and provides a range of
Islamic banking products and services. It operates more than 350
branches in more than 100 cities across the country, as well as a
network of more than 315 ATMs. Expanding its self-service network with
new Diebold 429 ATMs is helping the bank remain one of Pakistan's fastest-growing banks and emphasises its commitment to the environment.
The Diebold 429 is the first energy-efficient ATM deployed in Pakistan. It operates on as little as 70 watts of power and features an intelligent-powered management system that counteracts unreliable power availability to enhance ATM uptime for Meezan Bank's customers.
"We are committed to enhancing the convenience, availability and sustainability of banking services for our customers," said Ariful Islam, Deputy Chief Executive Officer, Meezan Bank. "Our new ATMs will enable us to expand our reach to more customers in remote areas where power availability is a challenge."
The Diebold 429 ATM offers uninterrupted power availability by continuously monitoring the power required to complete transactions and automatically alternating between three possible power sources – solar panel, alternating current (AC) grid and internal battery. The ATM switches seamlessly between these sources to maximise uptime and reduce energy consumption by up to 40% compared with other ATMs.
Based in Karachi, Pakistan, Meezan Bank is the 8th largest bank in
Pakistan in terms of branch network, and provides a range of
Islamic banking products and services. It operates more than 350
branches in more than 100 cities across the country, as well as a
network of more than 315 ATMs. Expanding its self-service network with
new Diebold 429 ATMs is helping the bank remain one of Pakistan's fastest-growing banks and emphasises its commitment to the environment. The Diebold 429 is the first energy-efficient ATM deployed in Pakistan. It operates on as little as 70 watts of power and features an intelligent-powered management system that counteracts unreliable power availability to enhance ATM uptime for Meezan Bank's customers.
"We are committed to enhancing the convenience, availability and sustainability of banking services for our customers," said Ariful Islam, Deputy Chief Executive Officer, Meezan Bank. "Our new ATMs will enable us to expand our reach to more customers in remote areas where power availability is a challenge."
The Diebold 429 ATM offers uninterrupted power availability by continuously monitoring the power required to complete transactions and automatically alternating between three possible power sources – solar panel, alternating current (AC) grid and internal battery. The ATM switches seamlessly between these sources to maximise uptime and reduce energy consumption by up to 40% compared with other ATMs.
Wednesday, 21 May 2014
Midamar offers premium halal turkey, beef in Southeast Asia
Midamar, which provides food products, launched its premium halal chunk turkey breast offerings at Food and Hotel Asia in Singapore this April.
The family comprises the award-winning Garlic and Herb, as well as Black Forest, Hickory Smoked, and Golden Browned halal whole turkey breasts, lightly seasoned and cooked without fillers or additives.
The company also relaunched its premier halal choice USA beef brand, BSI in Southeast Asia at Food and Hotel Asia. Jalel Aossey, Co-owner and Managing Director of Midamar, said: "The BSI brand is one of the first and most successful USA Choice beef brands in the market."
The Midamar brand has been in Southeast Asia for 40 years.
 |
Source: Midamar. The Black Forest halal turkey breast. |
The company also relaunched its premier halal choice USA beef brand, BSI in Southeast Asia at Food and Hotel Asia. Jalel Aossey, Co-owner and Managing Director of Midamar, said: "The BSI brand is one of the first and most successful USA Choice beef brands in the market."
The Midamar brand has been in Southeast Asia for 40 years.
Tuesday, 20 May 2014
Malaysia's SIDC has trained 400 professionals for the Islamic capital market to date
 |
| Source: SIDC. ICMGTS graduates posing with VIP guests at the tenth ICMGTS graduation ceremony. VIP guests (seated, from left in fourth position): Azman Hisham Che Doi, Chief Executive Officer, SIDC, Zainal Izlan, Executive Director, Islamic Capital Market, SC, and Sarimah Ramthandin, Director, Training and Investor Education Division, SIDC. |
ICMGTS is a bi-annual Securities Commission Malaysia (SC) training programme conducted by SIDC to develop young talent for careers in the ICM. The eight-week programme aims to provide participants with a technical understanding of the ICM and work-relevant soft skills. It is endorsed by an industry task force consisting of the SC, Bursa Malaysia, the Federation of Investment Managers Malaysia (FIMM), Association of Stockbroking Companies Malaysia (ASCM), Malaysian Investment Banking Association (MIBA) and Malaysian Association of Asset Managers (MAAM).
SIDC Chief Executive Officer Azman Hisham Che Doi, who presented awards at the graduation ceremony to recognise the best performers, said, “ICMGTS is one of SIDC’s many successful talent development programmes to support the growth of the Malaysian capital market industry. To date, approximately 85% of the ICMGTS alumni have been accepted as part of the industry’s workforce, indicating the relevance and importance of the programme.
“SIDC programmes aim to enhance the competencies of market professionals, who play an important role in promoting competitiveness in the Malaysian capital market as well as creating investor confidence. Recognising this, SIDC works closely with all stakeholders including the regulator, exchanges, intermediaries, industry players and investors to provide value proposition in the programmes we offer.”
Applications are now open for the eleventh ICMGTS intake, commencing August 2014. All Malaysians aged 30 years and below with a recognised second class upper degree or equivalent in related disciplines are eligible to apply. Successful candidates will receive a monthly allowance of RM2,000 during the training period. The programme also offers participants the opportunity to be interviewed by potential employers as well as sit for the SC’s licensing examinations to qualify as licensed intermediaries.
Detailed application information is available at www.sidc.com.my.
Monday, 19 May 2014
National Conference On Marketing Halal 2014 in KL postponed
UCSI University announced on May 16 that the National Conference On Marketing Halal 2014 that had been scheduled for May 20 at the KL
Campus, UCSI University has been postponed.
The university apologises for any inconvenience caused and said an alternative date would be announced later.
Enquiries can be directed to the corporate affairs team at the UCSI Group at +603 9101 8880.
The university apologises for any inconvenience caused and said an alternative date would be announced later.
Enquiries can be directed to the corporate affairs team at the UCSI Group at +603 9101 8880.
Fifth annual World Islamic Banking Conference in Singapore this June
The fifth annual World Islamic Banking Conference will be held in Singapore from June 2 to 4 at the Pan Pacific Hotel.There will be a pre-conference workshop on June 2, with the conference proper running over the remaining two days.
Ravi Menon, Governor, Monetary Authority of Singapore, will deliver the welcome address on June 3, followed by a keynote from Zainul Abidin Rasheed, Singapore Ambassador to Kuwait and Foreign Minister's Special Envoy to the Middle East. The keynote speaker on the next day is Jaseem Ahmed,
Secretary-General, Islamic Financial Services Board.
More information about the event can be found here.
Ravi Menon, Governor, Monetary Authority of Singapore, will deliver the welcome address on June 3, followed by a keynote from Zainul Abidin Rasheed, Singapore Ambassador to Kuwait and Foreign Minister's Special Envoy to the Middle East. The keynote speaker on the next day is Jaseem Ahmed,
Secretary-General, Islamic Financial Services Board.
More information about the event can be found here.
Sunday, 18 May 2014
Sharjah Islamic Bank first bank to join NASDAQ Dubai's Murabaha Platform
Sharjah Islamic Bank (SIB) is the first bank to join the NASDAQ Dubai Islamic financing Murabaha Platform since it was officially launched in April.
Through the NASDAQ Dubai Murabaha Platform, SIB's individual and institutional clients will be able to complete financing transactions within minutes. NASDAQ Dubai said the platform offers an alternative to traditional Islamic financing solutions, many of which can carry a risk of losses through price movements, spreads and poor liquidity as well as delays.
His Excellency Mohammed Abdulla Al Gergawi, Chairman of the Executive Office of His Highness Sheikh Mohammed Bin Rashid Al Maktoum and Chairman of the Board, Dubai Islamic Economy Development Centre, said: “The NASDAQ Dubai Murabaha Platform is a milestone in achieving the initiative launched by His Highness Sheikh Mohammed Bin Rashid Al Maktoum, the Vice President and Prime Minister of the UAE and Ruler of Dubai, to develop Dubai as the global capital of Islamic economy, under the direction of His Highness Sheikh Hamdan Bin Mohammed Bin Rashid Al Maktoum, the Crown Prince of Dubai. SIB’s decision to make use of NASDAQ Dubai’s platform reflects the future vision for the growth of the Islamic finance sector in the UAE.”
Mohamad Abdalla, Chief Executive Officer of Sharjah Islamic Bank, said: “We are very excited to offer the platform’s services to a wide variety of our clients for a range of purposes, from mortgages and personal finance to funding for corporate growth and expansion. The platform is an excellent fit with SIB’s strategy of enhancing its provision of reliable and efficient Islamic solutions on a cost effective basis to meet the needs for participants.”
Hamed Ali, Chief Executive of NASDAQ Dubai, said: “The NASDAQ Dubai Murabaha Platform bridges best practice international capital markets standards with the specific requirements of shari’ah financing. We have created a reliable and effective facility that provides clients with the confidence that all aspects of their Islamic financing needs are fully catered for.”
More than three billion AED of financing have been processed on the platform for thousands of clients since a pilot phase of the project began in September 2013.
The NASDAQ Dubai Murabaha Platform was set up by NASDAQ Dubai jointly with Emirates Islamic.
 |
| Source: NASDAQ Dubai. |
Through the NASDAQ Dubai Murabaha Platform, SIB's individual and institutional clients will be able to complete financing transactions within minutes. NASDAQ Dubai said the platform offers an alternative to traditional Islamic financing solutions, many of which can carry a risk of losses through price movements, spreads and poor liquidity as well as delays.
His Excellency Mohammed Abdulla Al Gergawi, Chairman of the Executive Office of His Highness Sheikh Mohammed Bin Rashid Al Maktoum and Chairman of the Board, Dubai Islamic Economy Development Centre, said: “The NASDAQ Dubai Murabaha Platform is a milestone in achieving the initiative launched by His Highness Sheikh Mohammed Bin Rashid Al Maktoum, the Vice President and Prime Minister of the UAE and Ruler of Dubai, to develop Dubai as the global capital of Islamic economy, under the direction of His Highness Sheikh Hamdan Bin Mohammed Bin Rashid Al Maktoum, the Crown Prince of Dubai. SIB’s decision to make use of NASDAQ Dubai’s platform reflects the future vision for the growth of the Islamic finance sector in the UAE.”
Mohamad Abdalla, Chief Executive Officer of Sharjah Islamic Bank, said: “We are very excited to offer the platform’s services to a wide variety of our clients for a range of purposes, from mortgages and personal finance to funding for corporate growth and expansion. The platform is an excellent fit with SIB’s strategy of enhancing its provision of reliable and efficient Islamic solutions on a cost effective basis to meet the needs for participants.”
Hamed Ali, Chief Executive of NASDAQ Dubai, said: “The NASDAQ Dubai Murabaha Platform bridges best practice international capital markets standards with the specific requirements of shari’ah financing. We have created a reliable and effective facility that provides clients with the confidence that all aspects of their Islamic financing needs are fully catered for.”
More than three billion AED of financing have been processed on the platform for thousands of clients since a pilot phase of the project began in September 2013.
The NASDAQ Dubai Murabaha Platform was set up by NASDAQ Dubai jointly with Emirates Islamic.
Thursday, 15 May 2014
BGC promoting murabaha mechanism with Dubai Multi Commodity Centre
BGC Partners, a global brokerage company servicing the wholesale financial and real estate markets, has partnered with the Dubai Multi Commodity Centre (DMCC) to promote a shari'ah-compliant commodity murabaha mechanism.
The March agreement is the first between DMCC and an interdealer broker to jointly market commodity murabaha on the DMCC Tradeflow Platform. The partnership offers the trading community a faster, more efficient method of trading this niche financial product, and promotes Dubai as the global centre of Islamic finance at the same time.
Said Charlie Sleightholme, Head of Commodity Murabaha Business at BGC in Dubai: "While trading of this product has been in existence for some time, our joint offering brings a modernisation to the process, offering speed, convenience and innovation to the execution of this popular product."
"We are thrilled to offer an exciting, world class mechanism for the trading of commodity murabaha which we believe will garner significant interest from the trading community both domestically and internationally," commented Paul Boots, Director, Tradeflow at DMCC.
"With BGC's premier global reputation, its relationships with top-tier institutions across the world and its leading electronic trading capabilities, we believe that commodity murabaha customers will see significant benefits in terms of efficiency and transparency. This, in turn, will continue to promote and assert Dubai's reputation as a preeminent global capital of Islamic finance."
Established in 2002 by Royal Decree, the DMCC is a strategic government initiative of the Government of Dubai designed to enhance trade flows through the UAE by providing infrastructure and an optimal environment allowing clients to fully benefit from both a regulated framework and convenient location.
The DMCC has helped to bridge the gap in the region between the commodity industry and trade finance by providing a mechanism for the issue of electronic warehouse receipts on behalf of the owners of stored commodities since 2004. In 2012, the DMCC Tradeflow platform unified these services, providing members with a holistic approach to the process of certifying commodities for the purposes of trade finance, as well as for the trade of locally stored commodities between Islamic banking institutions and their counterparties through the commodity murabaha mechanism.
*Murabaha is not an interest-bearing loan, which is considered riba (or excess) and forbidden under shari'ah (Islamic religious law), and is rather an acceptable form of credit sale. Murabaha is an Islamic financing structure in which an intermediary buys an asset with free and clear title to it. The intermediary and prospective buyer then agree upon a sale price (including an agreed-upon profit for the intermediary) that can be made through a series of installments, or as a lump sum payment.
Similar in structure to a rent-to-own arrangement, the intermediary retains ownership of the property until the loan is paid in full. It is important to note that to prevent riba, the intermediary cannot be compensated in addition to the agreed-upon terms of the contract. For this reason, if the buyer is late on their payments, the intermediary cannot charge any late penalties.
Said Charlie Sleightholme, Head of Commodity Murabaha Business at BGC in Dubai: "While trading of this product has been in existence for some time, our joint offering brings a modernisation to the process, offering speed, convenience and innovation to the execution of this popular product."
"We are thrilled to offer an exciting, world class mechanism for the trading of commodity murabaha which we believe will garner significant interest from the trading community both domestically and internationally," commented Paul Boots, Director, Tradeflow at DMCC.
"With BGC's premier global reputation, its relationships with top-tier institutions across the world and its leading electronic trading capabilities, we believe that commodity murabaha customers will see significant benefits in terms of efficiency and transparency. This, in turn, will continue to promote and assert Dubai's reputation as a preeminent global capital of Islamic finance."
Established in 2002 by Royal Decree, the DMCC is a strategic government initiative of the Government of Dubai designed to enhance trade flows through the UAE by providing infrastructure and an optimal environment allowing clients to fully benefit from both a regulated framework and convenient location.
The DMCC has helped to bridge the gap in the region between the commodity industry and trade finance by providing a mechanism for the issue of electronic warehouse receipts on behalf of the owners of stored commodities since 2004. In 2012, the DMCC Tradeflow platform unified these services, providing members with a holistic approach to the process of certifying commodities for the purposes of trade finance, as well as for the trade of locally stored commodities between Islamic banking institutions and their counterparties through the commodity murabaha mechanism.
*Murabaha is not an interest-bearing loan, which is considered riba (or excess) and forbidden under shari'ah (Islamic religious law), and is rather an acceptable form of credit sale. Murabaha is an Islamic financing structure in which an intermediary buys an asset with free and clear title to it. The intermediary and prospective buyer then agree upon a sale price (including an agreed-upon profit for the intermediary) that can be made through a series of installments, or as a lump sum payment.
Similar in structure to a rent-to-own arrangement, the intermediary retains ownership of the property until the loan is paid in full. It is important to note that to prevent riba, the intermediary cannot be compensated in addition to the agreed-upon terms of the contract. For this reason, if the buyer is late on their payments, the intermediary cannot charge any late penalties.
Wednesday, 14 May 2014
Fund focus: Saturna's ASEAN Equity Fund is shari'ah compliant with performance-based fees
Saturna, a wholly-owned subsidiary of US-based Saturna Capital Corporation and a licensed Islamic fund manager under the Malaysia International Islamic Financial Centre (MIFC), launched the ASEAN Equity Fund in February to capitalise on the expected growth resulting from further economic integration within the ASEAN region. As of May 9, it trades at a little over RM1 per share.
Saturna has established itself as an expert in Islamic funds. It acts as a sub-adviser to the Crescent International Equity Fund, managed by Crescent Wealth, Australia's first Islamic wealth manager. Saturna Capital is adviser to the Amana Mutual Funds (Amana Growth Fund, Amana Income Fund, and Amana Developing World Fund) that follow principles of Islamic finance.
The ASEAN Equity Fund invests in a diversified portfolio of shari'ah-compliant equities across the ASEAN region using a values-based investment approach developed by Saturna Capital's Chief Investment Officer Nicholas Kaiser. The criteria for stock selection will include identifying companies with improving fundamentals and growth at reasonable valuations.
At least 70% of the Fund's net asset value (NAV) is in shari'ah-compliant equities in ASEAN countries, and up to 30% of the dund's NAV is in liquid assets including money market instruments and deposits with Islamic financial institutions.
According to Saturna, the ASEAN Equity Fund has a low-fee structure designed to be fair, transparent, and aligned with the long-term interests of unit holders. The Fund is offered with no sales charge, low administrative fees and transparent distribution fees. Additionally, the management fee of the Fund is performance-based - the management receives no fee unless the fund makes money for its investors.
Monem Salam, Saturna ASEAN Equity Fund Portfolio Manager and President of Saturna in Malaysia, commented at the time of the launch: "We believe the ASEAN Equity Fund will first and foremost fill a gap for high-net-worth and institutional Islamic investors in and outside Malaysia. It could also serve as a low-cost vehicle for qualified non-Muslim investors who want to access investment opportunities in the rapidly growing ASEAN markets. An additional attraction for all qualified investors will be the Fund's performance-based fee structure, which, in line with shari'ah practices, makes sure that the management makes money only if investors do."
The fund, denominated in Malaysian ringgit, is available to domestic and foreign qualified high-net-worth individuals and institutional investors. Click here for more information about the fund.
Saturna has established itself as an expert in Islamic funds. It acts as a sub-adviser to the Crescent International Equity Fund, managed by Crescent Wealth, Australia's first Islamic wealth manager. Saturna Capital is adviser to the Amana Mutual Funds (Amana Growth Fund, Amana Income Fund, and Amana Developing World Fund) that follow principles of Islamic finance.
The ASEAN Equity Fund invests in a diversified portfolio of shari'ah-compliant equities across the ASEAN region using a values-based investment approach developed by Saturna Capital's Chief Investment Officer Nicholas Kaiser. The criteria for stock selection will include identifying companies with improving fundamentals and growth at reasonable valuations.
At least 70% of the Fund's net asset value (NAV) is in shari'ah-compliant equities in ASEAN countries, and up to 30% of the dund's NAV is in liquid assets including money market instruments and deposits with Islamic financial institutions.
According to Saturna, the ASEAN Equity Fund has a low-fee structure designed to be fair, transparent, and aligned with the long-term interests of unit holders. The Fund is offered with no sales charge, low administrative fees and transparent distribution fees. Additionally, the management fee of the Fund is performance-based - the management receives no fee unless the fund makes money for its investors.
Monem Salam, Saturna ASEAN Equity Fund Portfolio Manager and President of Saturna in Malaysia, commented at the time of the launch: "We believe the ASEAN Equity Fund will first and foremost fill a gap for high-net-worth and institutional Islamic investors in and outside Malaysia. It could also serve as a low-cost vehicle for qualified non-Muslim investors who want to access investment opportunities in the rapidly growing ASEAN markets. An additional attraction for all qualified investors will be the Fund's performance-based fee structure, which, in line with shari'ah practices, makes sure that the management makes money only if investors do."
The fund, denominated in Malaysian ringgit, is available to domestic and foreign qualified high-net-worth individuals and institutional investors. Click here for more information about the fund.
Tuesday, 13 May 2014
Third International Halal Conference & Expo in Pakistan this May
Following two successful events in 2011 and 2012, the Punjab Halal
Development Agency and the Halal Research Council are hosting the third International Halal Conference & Expo from 22 to 23 May at the International Expo
Center, Johar Town Lahore in Pakistan in collaboration with Expo Centre
Lahore, the Punjab Agriculture & Meat Company, the University of Veterinary
& Animal Sciences and the Goverment of Punjab-Pakistan.
The focus this year will be on increasing the export volume and opportunities of halal trade; field visits to showcase the halal industry in Pakistan; food safety management and halal certification, connecting importers and exporters, and promoting halal branding and marketing.
 |
| Source: International Halal Conference & Expo website. |
According to the organisers, Pakistan has a 100% halal livestock supply chain and stands to gain from the growth in global demand for halal products, a market estimated to be worth US$3 trillion.
The Punjab Halal Development Agency (PHDA) is a halal development organisation owned by Government of Punjab while the Halal Research Council works globally on halal certifications.
Monday, 12 May 2014
THAIFEX - World of Food Asia designates halal product zone
The THAIFEX – World of Food Asia event this May has included a specially designated halal product zone in one of its halls (hall 1) in recognition of the growth of Southeast Asia as a significant regional market for halal products with an audience of 225 million Muslims, fast-developing halal food production industries and halal certification activities.
 |
| Source: THAIFEX website. |
Besides the product zone, the organisers are providing standees to highlight that halal products are available at the booth; showcasing products from halal-certified exhibitors at THAIFEX – World of Food Asia in a prominent manner; and continuing to conduct the World of Halal seminar, a key event at THAIFEX, to address
the challenges and key issues of the halal food industry in this region.
According to the organisers, the potential audience for halal products numbers 1.6 billion Muslims in over 112 countries (2006 numbers), while the
global market for halal products is estimated to be worth US$580 billion annually. "While
developed countries are seeing declining populations with shrinking
families, Muslim nations are seeing rapid growth and large families.
Islam is the second-largest religion in the world after Christianity,
and the fastest-growing," notes the website. The Thaifex website notes that Thailand is the sixth largest halal food exporter in the world. The domestic halal food market in Thailand grows around 20% a year. Out of 30,000 food factories in Thailand now, 8,000 are involved in halal food production. Thailand is also developing Pattani, one of the southern border provinces, into a halal industrial centre.
THAIFEX runs from 21 to 25 May in Bangkok, Thailand at the IMPACT Exhibition and Convention Center, Challenger Halls 1, 2, and 3. Pre-registration ends May 15.
Sunday, 11 May 2014
AmIttikal Islamic equity fund beats average industry performance
AmInvest’s Islamic equity fund, AmIttikal, has obtained above-average risk-adjusted returns compared to its peers in the Equity Malaysia (Islamic) category of the Lipper Global Classification categories.* For the past five years, the Fund has registered returns of 112%, more than three times its performance benchmark returns of 34%.*
AmIttikal is designed as a medium to long-term investment with an objective of producing ‘halal’ income and to a lesser extent capital growth.
“Today we see investors’ appetite (on) a much heavier emphasis on consistent income generation. The Fund has consistently paid out semi-annual income distribution as far back as 2005.** At present, the Fund invests primarily in Malaysian equities comprising mainly big cap stocks that are backed with strong balance sheets, cash flow and consistent dividend payments.
"Positive indicators including the steady growth trajectory for the Malaysian economy of 4.5% to 5.5% in terms of gross domestic product (GDP) for 2014, underpinned by improvement in external demand*** is expected to drive earnings growth, which will bode well for this Fund,” said Mohd Fauzi Mohd Tahir, Executive Director and Head of Equities, AmInvest.
He added, “The fund was the first shari'ah-compliant equity fund in the country to be based on a mudharabah structure, which in simplest terms is a profit sharing structure.**** This underlying concept is very much aligned to the wants of investors of shari'ah-compliant investment solutions which is why we have seen continued interest in this fund.”
For more details on the fund, please refer to the AmInvest Master Prospectus dated 10 September 2013 (expires on 9 September 2014) via www.aminvest.com, or visit an AmBank branch to request a copy of the Prospectus and its application form.
*Lipper Investment Management for the period 31 March 2009 to 31 March 2014, performance based on total returns with income distributions reinvested. The performance benchmark for this Fund is the Malayan Banking Berhad 12-months Islamic General Investment Account plus 3% spread. Data extracted 10 April 2014.
**AmInvest unit trust performance data as 31 March 2014, performance based on time weighted return. Data extracted 11 April 2014.
***The 2013 Bank Negara Malaysia Annual Report, available online via www.bnm.gov.my. Data extracted 11 April 2014.
****Lipper Investment Management as at September 2013, based on launch date.
AmIttikal is designed as a medium to long-term investment with an objective of producing ‘halal’ income and to a lesser extent capital growth.
“Today we see investors’ appetite (on) a much heavier emphasis on consistent income generation. The Fund has consistently paid out semi-annual income distribution as far back as 2005.** At present, the Fund invests primarily in Malaysian equities comprising mainly big cap stocks that are backed with strong balance sheets, cash flow and consistent dividend payments.
"Positive indicators including the steady growth trajectory for the Malaysian economy of 4.5% to 5.5% in terms of gross domestic product (GDP) for 2014, underpinned by improvement in external demand*** is expected to drive earnings growth, which will bode well for this Fund,” said Mohd Fauzi Mohd Tahir, Executive Director and Head of Equities, AmInvest.
He added, “The fund was the first shari'ah-compliant equity fund in the country to be based on a mudharabah structure, which in simplest terms is a profit sharing structure.**** This underlying concept is very much aligned to the wants of investors of shari'ah-compliant investment solutions which is why we have seen continued interest in this fund.”
For more details on the fund, please refer to the AmInvest Master Prospectus dated 10 September 2013 (expires on 9 September 2014) via www.aminvest.com, or visit an AmBank branch to request a copy of the Prospectus and its application form.
*Lipper Investment Management for the period 31 March 2009 to 31 March 2014, performance based on total returns with income distributions reinvested. The performance benchmark for this Fund is the Malayan Banking Berhad 12-months Islamic General Investment Account plus 3% spread. Data extracted 10 April 2014.
**AmInvest unit trust performance data as 31 March 2014, performance based on time weighted return. Data extracted 11 April 2014.
***The 2013 Bank Negara Malaysia Annual Report, available online via www.bnm.gov.my. Data extracted 11 April 2014.
****Lipper Investment Management as at September 2013, based on launch date.
Friday, 9 May 2014
Global takaful market has a 16% CAGR through to 2018
Research and Markets has forecast the global takaful market will grow at a CAGR of 16% from 2013 to 2018 on the back of growing market opportunities and new technical expertise. However, low awareness levels could pose a challenge.
The key vendors dominating this space are Dubai Islamic Bank, Kuwait Finance House, and Malayan Banking. Other vendors mentioned in the report, the Global Takaful Market 2014-2018, include Bank Mandiri, HSBC Amanah Takaful Malaysia, and Asuransi Jiwa Bringin Jiwa Sejahtera.
An analyst from the team said: "Geographically, there are not many large takaful operators operating internationally. In fact, there is a growing opportunity for takaful operators to start operations in full swing in geographies such as Europe, the Americas, and Russia. Governments in these geographies are highly recommending the uptake of takaful. Partnerships with banks will present a new and readily available distribution channel, which could open up a gamut of new opportunities for takaful operators to develop shari'ah-compliant bancassurance products."
According to the report, the rapid economic growth in emerging countries is a major driver as higher per capita disposable income has resulted in money available for purchasing takaful products. Countries such as Indonesia, Turkey, and Malaysia have a large Muslim population who are inclined to purchase products that comply with shari'ah principles while non-Muslims are showing an interest as well.
The key vendors dominating this space are Dubai Islamic Bank, Kuwait Finance House, and Malayan Banking. Other vendors mentioned in the report, the Global Takaful Market 2014-2018, include Bank Mandiri, HSBC Amanah Takaful Malaysia, and Asuransi Jiwa Bringin Jiwa Sejahtera.
An analyst from the team said: "Geographically, there are not many large takaful operators operating internationally. In fact, there is a growing opportunity for takaful operators to start operations in full swing in geographies such as Europe, the Americas, and Russia. Governments in these geographies are highly recommending the uptake of takaful. Partnerships with banks will present a new and readily available distribution channel, which could open up a gamut of new opportunities for takaful operators to develop shari'ah-compliant bancassurance products."
According to the report, the rapid economic growth in emerging countries is a major driver as higher per capita disposable income has resulted in money available for purchasing takaful products. Countries such as Indonesia, Turkey, and Malaysia have a large Muslim population who are inclined to purchase products that comply with shari'ah principles while non-Muslims are showing an interest as well.
Thursday, 8 May 2014
S'N'B unveils luxury collection of water-permeable, water-removable nail polish
Safe 'N' Beautiful (S'N'B), a natural nail care beauty house, has unveiled a new luxury collection of breathable, water-based and water-removable nail polishes and is currently seeking retailers and distributors throughout EMEA for them. S'N'B will formally debut
the new product range at Beauty World Middle East, taking place at the Dubai International
Convention & Exhibition Centre from 27 through 29 May.
The patented formulas, free of alcohol and animal-derived products, are also 'five-free' of the chemicals dibutyl phthalate (DBP), toluene, camphor, formaldehyde and its resins. Unlike traditional nail polishes, the halal S'N'B formulation is aqueous and oxygen permeable, said the company.
Said Jeanette Sklivanou, Founder of Safe 'N' Beautiful: "Years in development, the new S'N'B range is integral to our ethos of formulating beauty products that are natural, naturally safe and of the highest quality. Luxurious halal beauty products that enhance a woman's health and well-being."
The new S'N'B line complements the flagship Snails (Safe Nails) line for children and expectant mothers currently available online and across 37 countries. Non-toxic, water-based and water-removable nail polishes and products designed especially for expectant mothers and children aged three and up, the new collection of 26 colours feature polishes with a high-gloss, salon-quality finish. The 'Natural Top coat' is also water-based for longer-lasting colour and top nail protection.
The new collection can be viewed at Beauty World Middle East at Stand 1G34. To register to attend Beauty World Middle East, Dubai please click here.
 |
| Source: S'N'B. |
Said Jeanette Sklivanou, Founder of Safe 'N' Beautiful: "Years in development, the new S'N'B range is integral to our ethos of formulating beauty products that are natural, naturally safe and of the highest quality. Luxurious halal beauty products that enhance a woman's health and well-being."
The new S'N'B line complements the flagship Snails (Safe Nails) line for children and expectant mothers currently available online and across 37 countries. Non-toxic, water-based and water-removable nail polishes and products designed especially for expectant mothers and children aged three and up, the new collection of 26 colours feature polishes with a high-gloss, salon-quality finish. The 'Natural Top coat' is also water-based for longer-lasting colour and top nail protection.
The new collection can be viewed at Beauty World Middle East at Stand 1G34. To register to attend Beauty World Middle East, Dubai please click here.
Wednesday, 7 May 2014
BIBD At-Tamwil turns to FICO technology to manage loan portfolio risk
FICO, a predictive analytics
and decision management software company, has announced that BIBD
At-Tamwil, a subsidiary of Bank Islam Brunei Darussalam (BIBD), the largest Islamic bank in Brunei, has seen
increases of 20% percent or more in auto loan bookings since it
implemented a mobile decision management application developed using
FICO technology.
FICO predictive analytics and the FICO Blaze Advisor decision rules system have enabled BIBD At-Tamwil to manage its loan portfolio risk, satisfy regulatory requirements and take full advantage of information from a newly formed credit bureau, which became available in late 2012.
The company’s ability to provide on-the-spot decisions for loans has been the driving factor in boosting business. Its marketing agents at car dealers now use iPads to process credit applications at the car lot, entering the customer’s financial information into the mobile app, along with photographs of important documents such as identity cards and payslips.
This information, along with credit bureau data, is then analysed using predictive analytics and business rules within FICO Blaze Advisor decision rules system to provide a loan approval decision. This customer-centric approach has streamlined the experience, increasing buyer satisfaction and therefore sales.
“We felt customers were waiting too long for loan approvals using our old system,” said Irwan Lamit, MD of BIBD At-Tamwil, which helps more than 14,000 Brunei consumers every year to finance new and used cars or motorbikes. “With this new approach, we’ve cut the process from a potential 24 hours down to mere minutes while still effectively managing risks. This is a win-win solution that has grown our client base and sales.”
BIBD At-Tamwil made this technology investment as part of its strategy to double its revenue every five years in a highly competitive and saturated marketplace.
“Finding growth meant targeting new customers while managing our risk,” said Irwan. “We decided to include non-salary assigned customers, people whose principal bank account is not with our parent bank. To do this, while increasing loan turnaround time, meant quality risk management was an essential ingredient to the solution.
Dinesh Pereira, who manages FICO’s business in Brunei, added that the innovative solution developed for BIBD At-Tamwil is a great example of the use of customer-focused technology in the financial services industry to drive profits.
“BIBD At-Tamwil is using technology to make life easier for clients looking to buy automobiles. Their work demonstrates what is possible when the power of analytics and mobile are brought together to improve the customer experience.”
FICO predictive analytics and the FICO Blaze Advisor decision rules system have enabled BIBD At-Tamwil to manage its loan portfolio risk, satisfy regulatory requirements and take full advantage of information from a newly formed credit bureau, which became available in late 2012.
 |
| Source: FICO |
The company’s ability to provide on-the-spot decisions for loans has been the driving factor in boosting business. Its marketing agents at car dealers now use iPads to process credit applications at the car lot, entering the customer’s financial information into the mobile app, along with photographs of important documents such as identity cards and payslips.
This information, along with credit bureau data, is then analysed using predictive analytics and business rules within FICO Blaze Advisor decision rules system to provide a loan approval decision. This customer-centric approach has streamlined the experience, increasing buyer satisfaction and therefore sales.
“We felt customers were waiting too long for loan approvals using our old system,” said Irwan Lamit, MD of BIBD At-Tamwil, which helps more than 14,000 Brunei consumers every year to finance new and used cars or motorbikes. “With this new approach, we’ve cut the process from a potential 24 hours down to mere minutes while still effectively managing risks. This is a win-win solution that has grown our client base and sales.”
BIBD At-Tamwil made this technology investment as part of its strategy to double its revenue every five years in a highly competitive and saturated marketplace.
“Finding growth meant targeting new customers while managing our risk,” said Irwan. “We decided to include non-salary assigned customers, people whose principal bank account is not with our parent bank. To do this, while increasing loan turnaround time, meant quality risk management was an essential ingredient to the solution.
Dinesh Pereira, who manages FICO’s business in Brunei, added that the innovative solution developed for BIBD At-Tamwil is a great example of the use of customer-focused technology in the financial services industry to drive profits.
“BIBD At-Tamwil is using technology to make life easier for clients looking to buy automobiles. Their work demonstrates what is possible when the power of analytics and mobile are brought together to improve the customer experience.”
Tuesday, 6 May 2014
Muis releases approved Haj travel agent information for 2014
The Islamic Religious Council of Singapore (Muis) has appointed
six
individual travel agents and five
consortium travel agents
(comprising
20 general sales agents) for Haj in the year 1435
H/2014. Muis has also approved
26
Haj
packages
to be offered by these travel agents (GSAs)
for the coming Haj.
This is an increase over 2013, when Muis appointed five individual GSAs and four consortium GSAs (also comprising 20 GSAs), and approved 15 Haj packages. The increase in packages this year is due to more short-trip packages being offered.
While the 15 approved packages from 2013 remain part of the approved packages for 2014, eight of the packages have increased an average of 8% in price, while five are now cheaper. The lowest package price this year is S$6,990 while the most expensive package costs S$13,650. All packages include emergency medical assistance (EMA) but exclude airfare and prevailing taxes. Only 680 pilgrims from Singapore were approved by the Saudi authorities for this year, leading to lower bargaining power for the GSAs and thus higher prices.
Muis advises pilgrims-to-be to evaluate carefully before deciding on their preferred Haj package based on their need and affordability. They are strongly advised to read and understand the content of the Haj Purchase Contract and the GSAs have been requested to explain the contract to intending pilgrims before they are asked to sign it.
This is an increase over 2013, when Muis appointed five individual GSAs and four consortium GSAs (also comprising 20 GSAs), and approved 15 Haj packages. The increase in packages this year is due to more short-trip packages being offered.
While the 15 approved packages from 2013 remain part of the approved packages for 2014, eight of the packages have increased an average of 8% in price, while five are now cheaper. The lowest package price this year is S$6,990 while the most expensive package costs S$13,650. All packages include emergency medical assistance (EMA) but exclude airfare and prevailing taxes. Only 680 pilgrims from Singapore were approved by the Saudi authorities for this year, leading to lower bargaining power for the GSAs and thus higher prices.
All packages offered were submitted through a public tender via the
Government e-Business (GeBIZ) site.
Muis advises pilgrims-to-be to evaluate carefully before deciding on their preferred Haj package based on their need and affordability. They are strongly advised to read and understand the content of the Haj Purchase Contract and the GSAs have been requested to explain the contract to intending pilgrims before they are asked to sign it.
Muis has notified the successful pilgrims whose registration number falls
within the official quota and have confirmed to Muis that they will perform Haj
this year. Muis will soon notify them to choose their preferred Haj package.
Information on the authorised travel agents and approved Haj packages for this year can be found at www.muis.gov.sg.
Monday, 5 May 2014
Dubai Financial Market welcomes US$750 million sukuk issue for the Dubai government
The Dubai Financial Market (DFM) announced the listing of US$750 million sukuk for the Government of Dubai on April 30. The 15 years issue matures in 2029.
His Excellency Essa Kazim, Chairman of DFM
and Secretary General of the Dubai Islamic Economy
Development Centre said: “The listing underlines the accelerating pace of
efforts aimed at reinforcing Dubai’s position as the capital of Islamic economy
and global sukuk centre in
line with the vision of His Highness Sheikh
Mohammed Bin Rashid Al Maktoum, UAE Vice President, Prime Minister and Ruler of
Dubai, to position Dubai as the global capital of the Islamic economy, under
the direction of His Highness Sheikh Hamdan Bin Mohammed Bin Rashid Al Maktoum,
Crown Prince of Dubai and Chairman of the Executive Council. Dubai is the
world’s third-largest venue for sukuk listings and this listing raises the total
value of sukuk listed on Dubai capital markets to US$20.38 billion.”
The new issue will be OTC traded and settled through
Clearstream and Euroclear, not DFM.
The news follows another multi-million dollar sukuk listing by DAMAC Real Estate Development on NASDAQ Dubai, which occurred on April 10.
Hussain Sajwani, Executive Chairman and Chief Executive of Damac Properties, said at the launch of the five-year US$650 million dollar sukuk: “As the international exchange in the Middle East, NASDAQ Dubai offers DAMAC global visibility and first class regulatory standards from a venue in the region where we are based. Our sukuk listing provides a strong underpinning for our expansion plans, including acquiring land to strengthen our high-end and luxury development activities.”
The sukuk issued by DAMAC Real Estate Development was more than four times oversubscribed and was placed with institutional investors across Europe, the Middle East and Asia.
Abdul Wahed Al Fahim, Chairman of NASDAQ Dubai, said: “The exchange is committed to providing DAMAC and its investors with the responsive framework they expect in a world class listing environment. NASDAQ Dubai will continue to streamline its admissions infrastructure and post-listing services in order to compete with and exceed best international practices.”
The news follows another multi-million dollar sukuk listing by DAMAC Real Estate Development on NASDAQ Dubai, which occurred on April 10.
Hussain Sajwani, Executive Chairman and Chief Executive of Damac Properties, said at the launch of the five-year US$650 million dollar sukuk: “As the international exchange in the Middle East, NASDAQ Dubai offers DAMAC global visibility and first class regulatory standards from a venue in the region where we are based. Our sukuk listing provides a strong underpinning for our expansion plans, including acquiring land to strengthen our high-end and luxury development activities.”
The sukuk issued by DAMAC Real Estate Development was more than four times oversubscribed and was placed with institutional investors across Europe, the Middle East and Asia.
Abdul Wahed Al Fahim, Chairman of NASDAQ Dubai, said: “The exchange is committed to providing DAMAC and its investors with the responsive framework they expect in a world class listing environment. NASDAQ Dubai will continue to streamline its admissions infrastructure and post-listing services in order to compete with and exceed best international practices.”
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