Insurance

Global sukuk sales to fall again in 2009-Kuwait KFH

Islamic bond sales are likely to drop this year from 2008 although local currency issuances will help support markets hit by the credit crisis, the Asian arm of Kuwait's top sharia lender said. Plummeting property prices in key Islamic financial centres such as Dubai are tightening the screws on the $1 trillion industry and putting it to its biggest test in its 30-year history.

Bahrain Takaful sector to see steady growth in 2009

Nexus, the region's leading financial adviser and Solidarity Family Takaful, announced the launch of a joint marketing agreement for Takaful product in the Kingdom of Bahrain, designed to provide clients with a Shariah-compliant opportunity to protect wealth for the future. Demand for Takaful products– products which are compliant with key Islamic tenets and based on the concept of shared responsibility in the Middle East has increased sharply in recent months, with clients appreciating the benefits of transparency and security of such products, as well as their adherence to Islamic ethical expectations.

CBB Sukuk Al-Salam Securities over subscribed

The Central Bank of Bahrain (CBB) announces that the monthly issue of the Sukuk Al-Salam Islamic securities has been over subscribed by 300%. Subscriptions worth BD18m were received for the BD6m issue, which carries a maturity of 91 days. The expected return on the issue, which begins on 4 March 2009 and matures on 3 June 2009, is 1.07%.

Takaful International profit hits $1.2 million

Takaful International Company saw significant growth last year in total insurance subscriptions from BD9.19 million ($24.3 million) to BD14.022 million ($37.1 million). The participants and the shareholders portfolio reported a net profit of BD449,000 ($1.19 million), an increase of 101 per cent. The takaful technical reserves increased by 41pc from last year, to reach BD13m, while the company's assets have been reported at BD24m, an increase of 24pc from last year. These increases are considered high despite the negative influence of the current credit crunch and financial crisis overall in the market and especially in the insurance sectors.