Islamic Financial Services
From The Report: Kuwait 2016
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Driven by rising demand for new sources of financing in the face of weak oil prices, Kuwait’s Islamic financial services (IFS) sector is increasingly considered to be a core component of the nation’s development. The industry’s steadily improving profile is largely a result of the government’s efforts to shore up the sector’s reputation over the past decade, most recently by rolling out new sukuk (Islamic bond) regulations in November 2015. As a consequence, local Islamic banks, investment companies and sharia-compliant insurers have gained market share at a rapid pace, in the process turning Kuwait into one of the world’s leading IFS markets.

This chapter contains an interview with Mazin Al Nahedh, CEO, Kuwait Finance House.

Articles from this Chapter

Overview

Rising tide: The sharia-compliant financial industry is working to increase its influence
OBG
plus

Driven by rising demand for new sources of financing in the face of weak oil prices, Kuwait’s Islamic financial services (IFS) sector is increasingly considered to be a core component of the nation’s development. The industry’s steadily improving profile is largely a result of the government’s efforts to shore up the sector’s reputation over the past decade, most recently by rolling out new sukuk (Islamic bond) regulations in November 2015. As a consequence of this effort, local Islamic…

Overview

Rising tide: The sharia-compliant financial industry is working to increase its influence
OBG
plus

Driven by rising demand for new sources of financing in the face of weak oil prices, Kuwait’s Islamic financial services (IFS) sector is increasingly considered to be a core component of the nation’s development. The industry’s steadily improving profile is largely a result of the government’s efforts to shore up the sector’s reputation over the past decade, most recently by rolling out new sukuk (Islamic bond) regulations in November 2015. As a consequence of this effort, local Islamic…

Interview

Gaining ground: OBG talks to Mazin Al Nahedh, CEO, Kuwait Finance House
OBG
plus

Interview: Mazin Al Nahedh To what extent can Islamic instruments serve as a long-term alternative to conventional instruments in relation to financing? MAZIN AL NAHEDH: The international community has previously accepted sukuk (Islamic bonds) that are issued by sovereigns or companies. Being asset-based, they are more viable to investors because they are more secure. All of these factors add value to Islamic financing and, in particular, sukuk, which are the long-term alternative to bond funds…

Analysis

Issuing potential: A new law is set to revive the use of Islamic debt for public and private financing alike
OBG
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In mid-November 2015 the Capital Markets Authority (CMA), Kuwait’s investment sector regulator, released a new set of rules aimed at streamlining the issuance of sharia-compliant debt instruments. After steady growth in new sukuk (Islamic bond) listings in the early and mid-2000s, the country’s corporate debt market has seen declining levels of activity in recent years. This drop has been attributed both to domestic and regional economic volatility following the 2007-08 international economic…