by admin | May 25, 2021 | Muslim World
Riyadh, Saudi Arabia : Saudi Arabia has raised 1.87 billion U.S. dollars, in a new Islamic bond issue, as the kingdom bids to finance a budget deficit, resulting from low oil prices.
The first two issues were made in Apr and July, and were worth a total of 13.5 billion dollars. The kingdom had also issued conventional domestic and global bonds.
The kingdom has forecast a budget deficit of 53 billion dollars, this fiscal year, down slightly from last year’s shortfall.
Riyadh has also withdrawn more than 230 billion dollars, from its fiscal reserves, since the end of 2014, to finance the budget deficit.
Its reserves now stand at just over 490 billion dollars.
Economic growth in Saudi Arabia is expected to hit just 0.1 percent this year, according to the International Monetary Fund.
—NNN-SPA
by admin | May 25, 2021 | Islamic Banking, Islamic Finance, Muslim World, News, World
By Maeeshat.in Desk,
UAE, July 15: The International Monetary Fund, in its latest report, has admitted growth of Islamic finance and banking in the United Arab Emirates. “UAE is also a major hub for Islamic bond issuances―during 2001–15, $53.8 billion or 36 percent of all global sukuk issuances originated in the UAE,” said IMF in the report released on 14th July.
“The UAE banking system is well developed and strong. Its 59 banks provide a full range of services to their clients. The banking system is large, with total assets amounting to AED 2.6 trillion or 204 percent of GDP at end-March 2017. The banking system is concentrated, with the largest three banks holding over 50 percent of total assets of the banking system. Banks are adequately capitalized and profitable…,” said IMF.
“Islamic banking is developing rapidly with some of the world’s largest Islamic banks headquartered in the country. Islamic banks in the UAE had assets of AED 522 billion or 20 percent of total bank assets at end-March 2017,” said International Monetary Fund.
“Capital market development—including the development of Islamic finance—is important to allow companies, governments, and GREs to reduce their reliance on bank financing,” the report on UAE said.
