Quotes: US MENA   Enter Symbol: NewsLetter: Search: advanced

UAE - New sukuk issuers to aid sales  Join our daily free Newsletter

MENAFN - Khaleej Times - 26/12/2013
No. of Ratings : 0
Add to Mixx!



(MENAFN - Khaleej Times) Debut Islamic bonds from governments and companies seeking to cut financing costs will drive sukuk sales next year, according to HSBC Holdings, with issuance probably rebounding to a record.

Growth will be boosted as borrowers follow governments from Dubai to Malaysia, which are seeking to promote Shariah-compliant bonds and become centres for Islamic finance, said Mohammed Dawood, global head of sukuk financing at HSBC, the bank that managed the most sukuk sales in 2013. The London-based lender is also working to introduce new instruments to help the securities compete with conventional bonds, he said by phone on December 22.

Islamic bond sales fell 9.5 per cent in 2013 to 42 billion after reaching a record 46.4 billion last year, according to data compiled by Bloomberg, in a market dominated by repeat borrowers. About 60 billion of sukuk will be sold in 2014, primarily by Malaysia and the Gulf countries, Moody's Investors Service said in a report last month.

"In 2014, we will see a shift to new issuers," Dawood said from Dubai. "We will see a lot more coming out of Asia and a lot more issuance from outside of the traditional markets."

Financial centres around the world have announced plans to sell Islamic bonds as part of efforts to grab a greater share of an industry whose assets will more than double to 2.7 trillion by 2017, according to PricewaterhouseCoopers. Hong Kong, the world's fifth-largest currency-trading centre, said in November it will offer a debut sukuk to spur capital markets. In October, UK Prime Minister David Cameron said the country planned to sell Islamic notes.

"You have more debt maturities in 2014, especially in Dubai, so this will drive issuance," Montasser Khelifi, a Dubai-based senior manager for global markets at Quantum Investment Bank Limited, said by e-mail on Tuesday.

Issuers in the Gulf Cooperation Council (GCC) have about 32 billion of bonds and syndicated loans maturing next year, according to data compiled by Bloomberg. Among the debt is a 500-million note from Dubai due in November while Abu Dhabi's Tourism Development and Investment Co, which is building museums in the UAE capital, has to pay a 1 billion bond in July.

Dubai said this year it's seeking to become the capital of the global Islamic economy.

"The announcements that we have seen from the likes of Dubai and the region have really given the product a lot more awareness, particularly among international markets," Dawood said. "That has led to a whole series of enquiries and interest from countries, from issuers who otherwise would be not so obvious targets for sukuk issuance."

 






  MENA News Headlines
 Jul 9 2014 - Warba Bank arranges 155m co-financial for UAE firmArab Times
(MENAFN - Arab Times) KUWAIT CITY July 8 (KUNA): Warba Bank announced on Monday that it had arranged a syndicated financing worth $155 million for a leading UAE oil services company. Warba's share in ...

 Jul 9 2014 - International Monetary Fund upbeat on DubaispanKhaleej Times
(MENAFN - Khaleej Times) Growth to average 5.The robust growth for Dubai in the coming years will be driven by big real estate projects IMF said ina report on Sunday. — KT photo by Rahul ...

 Jul 9 2014 - Mega mall key to Dubais visionspanKhaleej Times
(MENAFN - Khaleej Times) Project an important step for emirate to become international hub for tourism and hospitality Dubai’s plans to set up the Mall of the World is critical to unlock the ...

 Jul 9 2014 - Jebel Ali Mideasts best for 20th yearspanKhaleej Times
(MENAFN - Khaleej Times) The award was received by Kris Chang managing director of DP World China on behalf of DP World UAE Region. Global marine terminal operator DP World on Sunday announced ...

 Jul 9 2014 - Emaar Economic City cap hike OKspanKhaleej Times
(MENAFN - Khaleej Times) Shareholders agreed the capital increase on July 3 bringing the citys current holding of the company to SR2. Emaar Economic City said on Sunday shareholders of its Port ...

 Jul 9 2014 - Limitless Vietnam venture okayedspanKhaleej Times
(MENAFN - Khaleej Times) The certificate of investment allows Limitless to legally move forward with the joint venture on which infrastructure work is anticipated to begin later this year. Halong ...

 Jul 9 2014 - Higher sales lift Almarais Q2 net profit 8.8spanKhaleej Times
(MENAFN - Khaleej Times) The firm said second-quarter sales rose 14. Saudi Arabia’s Almarai the Gulf’s largest dairy company reported an 8.8 per cent increase in second-quarter net ...

 Jul 9 2014 - Kuwait- State financial support for national labor 'increases'Arab Times
(MENAFN - Arab Times) KUWAIT CITY June 21 (KUNA): State financial allotments for supporting national labor and social support have been increased in the 2014-2015 projected State budget according to ...

 Jul 9 2014 - Kuwait- PM tasks panel to speed up development projectsArab Times
(MENAFN - Arab Times) KUWAIT CITY June 26 (KUNA): His Highness the Prime Minister Sheikh Jaber Al-Mubarak Al- Hamad Al-Sabah chaired late on Wednesday a crucial meeting grouping senior government ...

 Jul 9 2014 - Kuwait- ATMs 'on' for switch SundayArab Times
(MENAFN - Arab Times) KUWAIT CITY June 27. (KUNA): Kuwait Banking Association on Friday denied reports that banks'ATMs (automated teller machines) will be temporarily switched off when the new ...

more...


 






Google

Click to Apply

 
 

Middle East North Africa - Financial Network

MENAFN News Market Data Countries Tools Section  
 

Middle East North Africa - Financial Network
Arabic MENAFN

Main News
News By Industry
News By Country

IPO News
Islamic Finance News
Private Equity News

How-To Guides
Technology Section

Travel Section

Search News

Market Indices
Quotes & Charts

Global Indices
Arab Indices

US Markets Details

Commodoties

Oil & Energy

Currencies Cross Rates
Currencies Updates
Currency Converter

USA Stocks
Arab Stocks
 

Algeria 
Bahrain 
Egypt 
Iraq
Jordan 
Kuwait 
Lebanon
Morocco 
Oman 
Palestine
Qatar 
Saudi Arabia 
Syria
Tunisia 
UAE 
Yemen

Weather
Investment Game
Economic Calendar
Financial Glossary

My MENAFN
Portfolio Tracker

Voting

Financial Calculators

RSS Feeds [XML]

Corporate Monitor

Events

Real Estate
Submit Your Property

Arab Research
Buy a Research

Press Releases
Submit your PR

Join Newsletters


 
© 2000 menafn.com All Rights Reserved.  Terms of Service | Privacy Policy | Contact Us | Advertise | About MENAFN | Career Opportunities | Feedback | Help