The Great Debate UK

from Global Investing:

Has sukuk missed the boat?

Boat leaving jettyThe Islamic finance industry waited in vain for a sukuk issue from a Western sovereign in 2009. Will 2010 be any different?

Gilles Saint Marc, a member of the Islamic Committee at trade body Paris Europlace, said on Wednesday at the Reuters Islamic Banking and Finance Summit that there had to be some sukuk issuance in France in 2010 if it was to retain its reputation as being at the forefront of Islamic finance.

However, David Testa, former CEO of Gatehouse Bank, a sharia wholesale bank in the City of London, was sceptical any Western sovereign issuance would be forthcoming.

“I do see some UK corporate sukuk issuance this year – there are deals ongoing, and some of those names would be sellable in the Gulf,” he said at the Summit on Thursday.

from The Great Debate:

Islamic mega-bank prays for support

BAHRAIN/-- Margaret Doyle is a Reuters columnist. The opinions expressed are her own --

Islamic finance is about to get its first mega bank if Sheikh Saleh Kamel has his way.

The billionaire chairman of Bahrain-based Al Baraka Banking Group is head of an alliance hoping to launch a $10 billion Islamic bank before year-end. He will have his work cut out. Islamic banks may have avoided the worst of U.S. sub-prime dross, but Islamic banking has risks of its own.