5 Interactive Distance Learning Programs on Islamic Banking and Finance

Saturday, July 21, 2012

AlHuda CIBE introduces Free Advisory services during the Holy Month of Ramadan

AlHuda Centre of Islamic Banking & Economics (CIBE ) is a well established name in the Islamic Banking and Finance working for Advisory, Education, Islamic Financial products development & Awareness.
Muslims around the world are welcoming the arrival of the holiest month of the Islamic year. In this Holy month, Alhuda Centre of Islamic Banking and Finance offers the following complementary services to masses to reap the full benefit of this blessed month:

- Free Shariah Advice and Consultancy

Alhuda has established an expert panel of Shariah Scholars & Finance professional for giving free advisory services to businessmen/General Public for removing the day to day problems and issues related to:
- Zakah & Usher Calculation
- Religious issues related to business, financial, banking and Halal Food etc.
- Other religious matters & Free literature service about Islamic Finance
The imminent Shariah experts would receive your live calls from 9:00 am to 12:00 (noon) till end of Ramadan. So do not hesitate to contact and get your problems resolved.
AlHuda CIBE also offers 25% discount on its distance learning programs on Islamic banking and finance during the Holy month with the theme to spread the blessings of Ramadan by bringing individuals in Shariah compliant and true profession to earn their livelihood.
Get Registered and Reap the Benefits of the Holy Month! For more information please visit: www.alhudacibe.com/dlp

South Africa Names Six Companies to Advise on Sukuk Sale

South Africa’s National Treasury appointed six companies, including Standard Bank (SBK) Group Ltd., BNP Paribas SA (BNP) and Albaraka Banking Group (BARKA), to advise it on its debut Islamic bond issue.
Nova Capital Partners LLC, Liquidity Management House for Investment Co., and Regiments Capital (Pty) Ltd. were also appointed, Tshepiso Moahloli, a senior analyst in the Pretoria- based Treasury, said by phone today.
The Islamic bonds, or sukuk, may form part of the Treasury’s plan to raise $3 billion in international markets over the next three years, she said. South Africa, where less than 2 percent of the 49.1 million people are Muslim, is looking to tap the Islamic finance industry’s $1 trillion in assets.
“We’re engaging with the banks now; the amount, currency and timing will depend on the outcome of our discussions,” Moahloli said. “From what we have observed, issuance tends to be from $500 million to about $700 million and movement around the five-year sukuk area looks like it’s the most favored area.”
The structuring and issuance of the sukuk may be used as a benchmark for state-owned companies that also plan to issue Islamic bonds, Moahloli said.

Public Finance Law

Sukuk are usually backed by assets sold to a special- purpose company by the issuer, which then rents them back in lieu of paying interest. The debut Islamic bond issue was delayed after the government decided to review public finance law, which doesn’t provide for the government to issue asset- based securities, Thuto Shomang, head of asset and liability management at the Treasury, said on May 17.
Moody’s Investors Service rates South Africa A3, the second-highest investment grade on the continent, according to data compiled by Bloomberg.
The country should not limit itself to an international sukuk, Jay Henning, an executive at Cape Town-based money manager Oasis Group Holdings, said by phone.
“While we agree with an international issue, there is definitely demand for a South African issue as well,” Henning said. “We have capacity for it and I’m sure other Sharia- compliant asset managers do as well.”
To contact the reporter on this story: Stephen Gunnion in Johannesburg at sgunnion@bloomberg.net

Wednesday, July 11, 2012

 Bank Sohar, Path Solutions ink pact for Islamic banking system

 Bank Sohar, Oman's dynamic banking institution and Path Solutions, a global provider of software solutions to the Islamic financial services industry yesterday announced that they have inked pact at a signing ceremony in Muscat, Oman.

As per the deal, Path Solutions' pioneering Islamic banking system iMAL will be implemented at Bank Sohar to assist the bank extend Islamic banking services.

Bank Sohar selected Path Solutions after evaluating several software solutions providers. Bank Sohar has become the fourth bank in the Sultanate of Oman to adopt Path Solutions' iMAL system reaffirming Path Solutions' position as a leading banking and financial software powerhouse in the region.

Speaking on the occasion, Dr. Mohamed Abdulaziz Kalmoor, CEO of Bank Sohar said that innovation is imperative in this era of globalization and added, "We were impressed with Path Solutions' willingness to meet our needs in providing end-to-end AAOIFI-certified Islamic banking solution. iMAL is a flexible and scalable banking platform that will drive new business models around Sharia principles, which will in turn increase the volume of our business, thus helping Bank Sohar achieve and maintain competitive edge."

Recently Bank Sohar partnered with Dar al Sharia, a reputed Sharia consultancy firm, to make sure that there is no compromise in the development of products, processes and systems and to also make sure that the staff is trained by experts from the region.

Bank Sohar has identified three areas of utmost importance for ensuring that its Islamic window is a solution that respects the basic tenets of Islam, the sensibilities of Omanis and is within the guidelines of the Central Bank of Oman. These include proper training and development of staff to deliver Islamic products, a proper and certified Islamic banking system and products that have a proper grounding in Sharia and are backed up by relevant Fatwa from respected scholars.

Mujahid Said al Zadjali, AGM and Head of IT, Bank Sohar said, "The bank leverages IT to make the customer's experience more convenient, effective and efficient through services such as 'Anytime, Anywhere Banking' through a range of Delivery Channels, such as Branches, ATMs, e-Banking and SMS, and across Payment and Settlement systems and it is our endevour to implement Islamic banking solution smoothly within a given time frame."

Mohammed Kateeb, Group Chairman & CEO, Path Solutions commented, "We consider this opportunity to work with Bank Sohar an endorsement of Path Solutions' leadership positioning in the Islamic banking sector. Bank Sohar will seek to service a market niche in Oman that has only been lightly tapped by local financial institutions, becoming a major participant in the market for Sharia-compliant Islamic securities, treasury and investment products. We look forward to working with Bank Sohar for the successful completion of this project."

Path Solutions' customer base spans across 28 countries. The company has a strong presence in the Middle East, Africa, Asia Pacific and England. Path Solutions' other customers in the Sultanate of Oman include Bank Nizwa, Bank Dhofar and Ahli Bank Oman.
It has been reported that the next phase of growth of the Islamic capital market would be characterised by greater internationalisation, which would see more product issuers and service providers expanding beyond their home market.
The Securities Commission's executive director of Islamic capital market, Zainal Izlan Zainal Abidin said that more investors would seek products or instruments with international exposure.
Speaking at the 7th Islamic Markets Programme, he said there would also be greater diversity in terms of currencies used in issuing Shariah-compliant instruments.
Izlan said the Islamic finance industry was at a crucial stage where it needed to redefine and establish the enabling environment that will spur its next phase of growth. Islamic finance, he said, had developed into an industry with global appeal, marked by a 15% average annual growth rate over the past decade, to reach US$1.3 trillion to date. As for Malaysia's Islamic capital market, the Capital Market Masterplan 2 was expected to grow at an average rate of 10.6% per annum, over the 10-year period to 2020.
Izlan said Islamic finance had developed not only in traditional Muslim markets like Malaysia and the Middle East, but also in conventional markets and financial centres such as the UK, with a growing number of jurisdictions across the globe at various stages of developing their capabilities in Islamic finance. Themed "Building the Environment for the Growth of Islamic Finance", the IMP attracted 41 local and international participants including Islamic finance practitioners, members of academia and regulators.
Central Asian and African Countries are the New Destinations of Islamic Finance: Zubair Mughal
Islamic Banking and Financial Industry Lacks Better Human Resources

Muhammad Zubair Mughal, CEO, AlHuda CIBE is speaking at The First International Forum on Islamic Banks and Financial Institutions, at Jordan

The First International Forum of Islamic Banks and Financial Institutions held under the patronage of His Excellency, Dr. Fayez al-Tarawneh– Prime Minister of Jordan has come to end today in Amman; the Capital city of Jordan. The Forum was jointly organized by General Council of Islamic Banks and Financial Institutions - Bahrain and Strategy - Jordan. In this forum, different topics like Emerging trends of Islamic Banking in Arab Countries, Legal and Taxation matters of Islamic banking, Role of International Institutes in Islamic Banking and finance and Importance of Education and awareness of Takaful and Islamic banking etc. were discussed. A good number of Experts & Professionals from different countries like Pakistan, Malaysia, Palestine, Indonesia, Bahrain, UAE, Qatar, Saudi Arabia etc. participated in this mega forum.

While addressing to the concluding session, Chief Executive Officer of AlHuda Centre of Islamic Banking and Economics, Mr. Muhammad Zubair Mughal said that presently, Islamic banking is growing at a very rapid pace and the Central Asian Countries (Kazakhstan, Afghanistan, Tajikistan, Uzbekistan, Kyrgyzstan, Azerbaijan) and African Countries (Nigeria, Tanzania, Kenya, Ghana, Tunisia, Senegal etc) are its new destinations of Islamic Banking and Finance where the rapid increase in the demand of Islamic banking is being observed and majority of these countries are providing shield to Islamic banking and finance industry by bringing alterations in Laws through parliaments.

While presenting the review of present Islamic Finance Industry, he said that the market of Islamic finance has reached to $1.3 Trillion, in which the share of Islamic banking is 77% ($1 Trillion), share of Sukuk is 14% ($180 Billion), share of Islamic Funds is 5% ($64 Billion) and share of takaful is 1% ($12 Billion) whereas the share of other Islamic financial products like Islamic Leasing, Mudarabah Companies, Islamic Microfinance and Islamic REITs is 3% ($44 Billion). He said that in comparison with the rate of growth of Islamic Banking; the Islamic banking graduates are not being produced accordingly due to which there is a lack of supply of Man Power than the demand of Islamic Banking and finance which should be resolved immediately. He said that not only new Experts of Islamic banking and finance should be produced to be utilized in the emerging market of Islamic banking and finance but the non-qualified personnel in Islamic banking and staff of conventional banks should be changed into Islamic Financial experts so that Islamic banking could be run by qualified Islamic bankers.

He further said that Islamic banking and Finance should not be only for well-off, Business personnel or middle class but its benefits should also be disseminated to poor through Islamic Microfinance so that they could get rid of poverty and live their lives respectfully through proper employment.
50 Thousand Islamic Financial Professional Needed Globally
HR Crisis May arise if Demand and Supply Remain Unbalanced

Zubair Mughal, CEO, AlHuda Centre of Islamic Banking and Economics speaking about Islamic Banking and Finance at Moscow Halal Expo at All Russian Exhibition Centre - Moscow, Russia

(Moscow) - In accordance with the growing industry of Islamic Banking and Finance, the whole world needs 50,000 Islamic Finance Experts right away so that the emerging market of Islamic Banking and Finance may be easily promoted. These thoughts were expressed by Mr. Muhammad Zubair Mughal, Chief Executive Officer – AlHuda Centre of Islamic Banking and Finance, during his speech on the topic of “Importance of Islamic Finance Education” in “Moscow Halal Expo” held in All Russian Exhibition Centre - Moscow; the capital city of Russia. He said that due to the recent International Financial Crises in conventional banking and finance, the world is moving rapidly towards alternative system of banking and finance and undoubtedly, the Islamic banking and finance system is the first and the foremost choice in this regard because the during financial crisis had very fewer impact on Islamic finance industry which is the assurance of its future success.

He said that education of Islamic banking and finance is immediately needed internationally. At this time, 38 universities in the world are producing approximately 5000 graduates of Islamic banking and finance per annum, whereas relatively its demand is 10 times more around the globe. If this demand and supply would not be balanced in short time then Islamic banking and finance industry may face many obstacles in its growth and promotion. In the recent era, conventional bankers are being provided with trainings having some of the essentials of Islamic banking and finance in order to adjust them in Islamic financial industry which is a wrong approach and is creating many reservations in financial industry. He further said that in order to establish Islamic banking and finance system on strong foundations, it is needed to produce graduates with complete knowledge of Islamic banking and finance having full command on Shari’ah, Fiqah and Islamic financial products. In this regard, AlHuda Centre of Islamic Banking and Economics has introduced its MBA and Post Graduate Diploma on Islamic banking and finance based on the mode of Distance learning so that the people of countries which currently do not have any facilities of Islamic banking and finance could get advantage of this facility from their office or home and strengthen the rapidly emerging market of Islamic banking.

He said that 4 pronged approaches should be adopted in order to educate masses in the field of Islamic banking and finance. 1) Graduation, Masters and Post Graduate Diploma programs on Islamic banking and finance should be arranged at University or College level in order to produce incumbents who could fulfill the responsibilities in Islamic financial institutions at managerial level in an excellent manner. 2) At post graduate level, one year diploma and six months certificate courses on different topics like Islamic banking, Sukuk (Islamic Bond), Takaful (Islamic Insurance), Islamic Fund and Islamic Microfinance should be arranged so that the experts in these fields could be produced. 3) Online programs on Islamic banking and finance should be promoted so that the awareness of Islamic banking and finance may be promoted worldwide as only 20 countries are providing education in this field. 4) Workshops, trainings and publications in the field of Islamic banking and finance should be promoted in order to encourage awareness among masses regarding this.