ABOUT BANK OF KHARTOUM (BoK)
Bank of Khartoum, is the largest financial and banking institution in Sudan In 2016,the bank achieved 27% return on equity, 3% return on assets with a balance sheet asset size of an equivalent of US $ 2.8Billion. Moreover, the bank achieved a (AA-) rating for its fifth consecutive year by Islamic International Rating Agency (IIRA) and considered the only bank that has been de-listed from OFAC SDN list since April 2011.
Bank of Khartoum’s shareholders are leading regional Islamic and financial institutions lead by Dubai Islamic Bank, Islamic Development Bank Jeddah, Abu Dhabi Islamic Bank, Sharjah Islamic Bank along with many other prominent Sudanese and Regional businessmen. The bank has pioneered and contributed to the development of many Islamic pro...
: 18 October 2017
Mumbai: TASIS - Taqwaa Advisory and Shariah Investment Solutions has been appointed as Shariah Advisor for Tata Group Shariah Mutual Funds including Tata Ethical Fund (TEF) and Tata Indian Shariah Equity Fund (TISEF).
Tata Ethical Fund (TEF) is a domestic fund whereas Tata Indian Shariah Equity Fund (TISEF) is an offshore fund.
"TASIS has signed an agreement with Tata Asset Management Limited (TAML) and Tata Asset Management (Mauritius) Limited (TAMML) to provide Shariah Consultancy Services to TEF and TISEF", TASIS said.
TEF is an open ended equity fund launched in the year 1996. The funds mobilized under TEF are invested in a diversified equity portfolio based on principles of Shariah. Its AUM has grown from Rs.200 crores to Rs.470 crores in the last three years. It is th...
: 17 October 2017
The preferred form of investment or financing in Shariah is profit-and-loss-sharing (PLS). References can be found in favor of PLS modes in Quran and Ahadith. However, a quick review of the current progress of Islamic finance industry indicates that while on the one hand, the volume of Islamic finance transactions has grown with a swift pace, on the other, the volume of PLS transactions in the total volume continues to be quite minor. This implies that while the industry as a whole has been targeting a high growth and expansion, it has deviated from its initial objective of promoting banking on an equitable (PLS) basis.
The reasons could be poor ethical standards prevailing in business, the absence of tax shields for equity financed transactions and the cost-intensive nature of reco...
: 13 October 2017
THE BANK RECORDED A 26 PER CENT INCREASE IN THIRD-QUARTER NET PROFIT
Dubai Islamic Bank (DIB), the largest Shariah-compliant lender in the UAE, said on Wednesday it recorded a 26 per cent increase in third-quarter net profit as higher income from Islamic financing and investing offset a rise in impairment charges.
The bank said its profit for the third quarter surged to Dh1.11 billion in the three months to September 30, from Dh876.3 million in the corresponding 2016 period.
In a statement, DIB said group net profit increased to Dh3.301 billion, up 10 per cent compared with Dh3.011 billion for the same period in 2016.
Total income increased to Dh7.51 billion, up 17 per cent compared with Dh6.41 billion for the same period in 2016.
Net operating revenue increased to D...
: 13 October 2017
Harris Irfan is Managing Director at Cordoba Capital and author of “Heaven’s Bankers: Inside the Hidden World of Islamic Finance”.
As a British Muslim, I am all too aware that Islam can be a scary word to many people in the UK and the US nowadays. But it need not be: in an age in which Islam and Islamic law, or Sharia, is increasingly demonized, I believe an economic model espoused by the principles of justice, equality and transparency has the power to unite people of divergent beliefs and create wealth at all levels in society. These principles are not unique to Islam; they are universal values that can contribute to a just, tolerant and progressive society.
An austere interpretation of Islam that has caused panic among some in the West is ...
: 07 October 2017
No steps have been taken in India for the introduction of Shari’ah-compliant mutual funds, despite the government making plans for their introduction in December 2014.
The Reserve Bank of India (RBI), replying to a request for information, said that it had given the government advice on the setting up of an Islamic-compliant financial system. It claims to have done so the very same month the government started its plans.
According to Live Mint, the State Bank of India planned to do the same, but deferred on its comments. It wanted to make “a better and more attractive” fund in the future.
“It is a misconception that Sharia-compliant mutual funds are beneficial to a particular community,” H Abdur Raqeeb, general secretary at the Indian Centre for Islamic F...
: 02 August 2017
Replying to an RTI application, the central bank said the Government of India had sought its comments on the launch of Sharia-compliant mutual funds by State Bank of India in December 2014.
New Delhi: No steps have been taken for the introduction of Sharia-compliant mutual funds in India, the Reserve Bank of India (RBI) has said.
Replying to an RTI application filed by a PTI correspondent, the central bank said the Government of India had sought its comments on the launch of Sharia-compliant mutual funds by State Bank of India in December 2014.
The RBI submitted its reply the same month, it said.
The Islamic or Sharia-compliant financial system is based on the principles of not charging an interest on deposits, as it is prohibited under Islam.
: 02 August 2017
The ‘Halal Fayidah’ bank aims to attract devout Muslims who are out of the conventional banking system as giving and charging interest is against Islamic law.
by TA Ameerudheen July 28
An interest-free cooperative bank modelled on the lines of the Islamic banking system – possibly the first of its kind in India – was launched in Kerala on Monday with the support of the Communist Party of India (Marxist).
Islamic banking is a system that complies with the Shariat or Islamic law. Under the tenets of the Shariat, charging or offering interest is looked at as an excess (or Riba).
The bank, in Kerala’s Kannur district, hopes to attract investments from devout Muslims who had kept away from the formal interest-based banking system as it went against their reli...
: 28 July 2017
CONCEPT OF ISLAMIC FINANCING MAKES ITS MARK IN TELANGANA
By Md Nizamuddin
Hyderabad: The concept of ‘Islamic finance’ has made its mark in Telangana. The Seva registered as Mutually Aided Cooperative Credit Societies (MACCS) started its operations in Sangareddy in 2012 and has helped thousands of small businessmen to come out of the clutches of the financiers, who otherwise charge hefty interest rates.
With over 7,000 members spread across 13 branches in the state, the institution has made a turnover of Rs 11 crore during the last fiscal. Apart from Telangana, the Hyderabad-based MACCS is also running its operations in Guntur and has plans to establish branches in Mahbubnagar, Khammam, Karimnagar and Koratla shortly.
The Warangal branch which began its operati...
: 18 July 2017
CHRISTIAN,MUSLIM HOUSEHOLDS TOP IN DONATIONS FOR CHARITY
But in absolute terms, Hindus contributed maximum in 2014-15, thanks to larger population, according to National Sample Survey data
Hindus donated a little over ₹15,600 crore as religious contribution in 2014-15 — six times the quantum donated by Muslims — but the per-household contribution of Muslims is marginally higher than that of Hindus, as they are enjoined by religion to give to charity.
But the per-household religious contribution of Christians is the highest among all communities, as per data from the 72nd round of National Sample Survey (NSS) on Household Expenditure on Services and Durable Goods. The data were recently extracted from the NSS’ raw findings by a team of researchers led by Sabir Ahamed ...
: 17 July 2017
It was 10 am, which meant that the time for transactions had officially begun. On a weekday morning in mid June, Anjum, a 42-year-old jewellery seller, arrived at the Al-Khair Cooperative Credit Society’s Delhi branch, in a tall building in Okhla. Clothes-lines ran through the small office, which doubles as a makeshift guest house for visitors from far-off places who need a place to stay.
With 13 branches across India, Al-Khair is an Islamic-finance organisation; it operates according to an ethical framework inspired by Islamic texts and values. Anjum had arrived at the Delhi branch in search of a small loan of R15,000, to purchase raw materials for her jewellery business. She chose to approach Al-Khair instead of a conventional bank, she told me, because conventional banks &ldquo...
: 14 July 2017
(Special to ViewsHeadlines.com)
Zakat is not very wisely practiced by Muslims in India. The management system for zakat is elementary. Even now the public opinion is that it is enough to hand a few kilos of flour or some length of cloth and a few hundred rupees is what should be given to beggars and relatives in need. And after a month or so the poor are again left begging and helpless. According to one wise person, in this situation zakat becomes like the painkiller that gives relief to the helpless for a limited period of time, but it is not like the medicine that cures the illness for good.
Zakat should be used in the rehabilitation of the poor and helpless, not just to feed and clothe him for a short duration.
According to Imam Abu Haneefa, “The poor and helpless should be g...
: 01 June 2017
By H. Abdul Raqeeb
One fourth of India’s beggars are Muslims and out of these Muslims, there are more women than men. This sad truth became public on July 30, 2016 as the report of survey was published in media.
On December, 2014, Veernagar, Agra, came in the glare of media. Many poor Muslims, who were rag-pickers, rickshaw pullers or manual labourers from Bengal and Assam were lured into converting to Hinduism by some communal organizations. The poor Muslims were converted on the strength of money. The conversion was named ‘ghar-wapsi’.
Don’t these incidents prompt the general Muslim population of India to do something about their community and find a solution? At least 14.5% of Indian population is Muslim. But they form the poorest of the poor.
The report by...
: 29 May 2017
By Arno Maierbrugger Gulf Times Correspondent Bangkok
Islamic finance is increasingly being discovered as a vehicle to support sustainable development goals by investments in environmental projects, as well as to deal with challenges of poverty, social inequality and financial exclusion, a method called “impact investing.”
To that end, the Islamic Development Bank (IDB) and the Istanbul International Center for Private Sector in Development of the UN Development Programme launched the “Global Islamic Finance and Impact Investing Platform,” an institution which seeks to build collaborations between a multitude of stakeholders, including Islamic banks and Islamic finance institutions, that engage in developmental investments in accordance with the United Nation&rs...
: 24 May 2017
The interest money which is not claimed by people due to religious obligations is kept in suspended bank accounts.
The SBI has declined to share the quantum of money lying in suspended bank accounts in which the interest amount of customers, who do not claim it due to religious reasons, is kept. Replying to an RTI query, the State Bank of India (SBI) said it does not maintain such information in its database “in normal course of business and extraction of the same will be voluminous and time taking activity”.
“We, therefore, decline your application under Section 7 (9) of RTI Act as the information sought by you is likely to divert disproportionately the resources of the bank,” it said in reply to the application filed by PTI.
The section bars disc...
: 05 May 2017
By Syed Zahid Ahmad
The Indian Government can deny Islamic banking in India, but can’t keep ignoring the deprivation of the poor to access equities from formal sources like corporate avails from the stock market. To get rid of NPAs and be ready for Basel–III standards, Indian banks may need innovative investment products like Micro Equity.
It is often asked if countries like the UK, France and Switzerland can adopt Islamic banking, then why can’t India? One should not forget that India has had a history of communal violence since colonial days. Even after 70 years of independence Indian democracy is still polarised in the name of religion and castes; there are many pending communal issues in addition to those cropping up at the slightest provocations. Owing to th...
: 03 May 2017
The two main pillars of modern banking involve lending and borrowing of money on interest and fractional reserve system. On scrutinizing the laws of economic system of Islam both these two things are strictly prohibited. So an Islamic bank is supposed to function without involving interest and fractional reserve system. The various definitions of Islamic bank clearlily point out towards sharing of profit and loss and prohibition of interest. However the complex financial system of modern world requires a very comprehensive knowledge of the subject in order to isolate a non interest based transaction from an interest based transaction. Various services of Islamic banks involve a clear factor of interest although they justify it by quoting fatwas of Islamic scholars which h...
: 01 May 2017
By S M Wasiullah for Maeeshat
As a principle investment in equity shares is considered Shariah compliant, if the business of the company is per se permissible. Then, some companies could also have a minor or even insignificant part of their income coming from impermissible sources such as from associated or subsidiary activities which are impermissible. Combining both the above types of impermissible incomes, we have the concept of ‘impure income’.
For an equity investment to be Shariah compliant, such impure income needs to be purged (by donating it to charity) by a Shariah compliant investor. Generally however, the minor impermissible income – other than interest income – is usually not reported separately in company accounts and therefore it is not possible t...
: 28 April 2017