Is the expansion not only in the Muslim world, but also in other countries where Muslims are a minority, especially in Britain, France, USA and even Japan. The industry has become one of the astonishing rate of 15-20% annually over the last decade and this trend is likely to continue as the Economic and construction boom in the Middle East and Asia, the value of the Shariah.
There are currently over 300 Islamic financial institutions (IFIs) more than 75 countries and 300 Shariah complaint investment funds, while only on the basis of the Egyptian Islamic banking there in 1975.
There are currently about $ 800bn is deposited in Islamic banks, investment funds, insurance companies and Islamic branches (Windows) from conventional banks. In contrast, the market is estimated at $ 140bn in 2000 alone. And to McKinsey, consulting firms, estimated by Islamic financial assets may reach $ 1 billion until 2010. Find out more benefits Islamic Banking (Elgar original link)
Moody's Investors Service, rating agencies, is very bullish, predicting that a relatively young industry in the world can boast assets of 4 billion dollars over five years. Notes: "Oil is creating liquidity and wealth based on the profits of companies and wages of individuals. This is their way through
Banks, or in Shariah-compliant personal loans or investors willing to buy bonds, Sukuk. "Booming and lucrative market, as it attracts traders on the demand for additional supply requirements."
USA - LED south-prime fiasco has been removed, that the balance of billions of western giants, or, even worse, the elimination of Lehman Brothers, the fourth-largest investment bank in the U.S., based on the profits of Sharia law, which bans trade in "toxic" debts and profits or lease Without underlying physical assets. The investment band wagon fashion, but backed bonds (CDOs), asset-backed securities index - an index by default in repayment of a loan of 20 base subprime mortgage bonds.
Bank of leveraged loans (rated below investment grade) and swaptions (options on interest rate swaps), is strictly prohibited, while loans should be reasonable and in the context of real economic activity. Thus, Islamic society, to ensure the safety net against questionable or basket of structured securities, which led to market turmoil in late 2007.
Of all the fast-growing Sharia-compliant products, which are gaining popularity as Sukuk. "Islamic bond market is developing for the past six years. According to the Islamic Finance Information Service (IFIs), more than $ 43bn of Sukuk have been in the past year, 177 deals. Overall, compared with $ 27.39bn in 2006 and $ 5.71bn in 2003. Most of the Shariah securities that are taking place in Asia (especially Malaysia), and the Gulf Cooperation Council (GCC) states. Visit Islamic bonds: your guide to structure, production and investment in Sukuk "