EVENTS - IFSB SUMMIT - Industry Leaders Discuss the Impact of Global Regulatory Reforms on the Islamic Financial Services Industry

www.ifsb.org -  Industry Leaders Discuss the Impact of Global Regulatory Reforms on the Islamic Financial Services Industry  Istanbul, 17 May 2012 - There is a need to find the remedy to the challenges facing the global financial services industry. Islamic finance provides a solution but legal and regulatory challenges facing the industry need to be addressed.

This was the consensus of the distinguished speakers at the first day of the 9^th IFSB Summit themed as “Global Financial Reforms: The Changing Regulatory Model and Islamic Finance” that is hosted by the Central Bank of the Republic of Turkey. (source)

CAPITAL MARKETS - KFH-Turkey launches Silver exchange traded fund at Istanbul bourse

www.zawya.com - KFH-Turkey launched the Silver traded fund at Istanbul bourse yesterday during a celebration that was attended by several Turkish officials, including Istanbul Bourse ManagerIbrahim Tohan, in addition to a bouquet of businessmen, investors, important figures, It is worth noting that this is the first account of its kind in Turkey.

KFH-Turkey's CEO Ufuk Iwan stated that the new fund complements the gold traded fund that the bank offered last year and is highly demanded by clients; especially that Turkish people are keen to purchase and keep gold and silver. (source)

CAPITAL MARKETS - İMKB celebrates the trading of “Kuveyt Türk Participation Bank B Type Silverplus ETF”

www.ise.org - On the occasion of the first trading day of “Kuveyt Türk Participation Bank B Type Silverplus ETF”, the executives and guests of the relevant bank will visit İMKB (İstanbul Menkul Kıymetler Borsası) and ring the opening bell of the Stock Market on May 21, 2012.
Mr. İbrahim TURHAN, İMKB Chairman & CEO, Mr. Mohammed Al OMAR, Chairman of the Board of Kuveyt Turk, Mr. Abdullah TIVNIKLI, Vice Chairman and Member of the Board of Kuveyt Turk, Mr. Ufuk UYAN, CEO of Kuveyt Turk and Mr. Murat ÇETİNKAYA, Vice President of Kuveyt Turk will deliver speeches, following which the officials will ring the opening bell and start the session at 09:30. (source)

CAPITAL MARKETS - Bank Asya Drops to 4-Month Low as FinansInvest Cuts Rating

www.bloomberg.com - Asya Katilim Bankasi AS (ASYAB), a Turkish Islamic bank, fell the lowest level in almost four months as FinansInvest downgraded the stock on concern the bank’s “problematic” loans will increase.
The shares dropped 3.5 percent to 1.64 liras at the close in Istanbul, the lowest since Jan. 23. The benchmark ISE National 100 Index sank 1.3 percent and the gauge for the banking industry slipped 2.9 percent.
Bank Asya’s recommendation was cut to neutral from outperform and its 12-month price estimate was lowered to 2.20 liras from 2.31 liras at FinansInvest, the Istanbul-based brokerage of Finansbank AS, the Turkish lender owned by National Bank of Greece. (source)

CAPITAL MARKETS - Turkey Stocks: Asya Katilim, Otokar, Vestel Elektronik Move

www.bloomberg.com - Turkey’s benchmark ISE National 100 Index (XU100) fell 1.7 percent to 57,853.86 at the close in Istanbul, declining for the first time in three days. The following shares were active. Stock symbols are in parentheses.

Asya Katilim Bankasi AS (ASYAB) , an Islamic bank, slid 5.1 percent to 1.69 liras, its biggest loss since Nov. 21. The bank is waiting for “the right market conditions” to issue $300 million of sukuk bonds as “unfortunately things are not good abroad,” Chief Executive Abdullah Celik said in an interview today. (source)

OPINION - İstanbul on track to become an international financial center

www.todayszaman.com - Mustafa Baltici - Of late, the term “financial center” has become a buzzword for emerging markets gearing themselves towards undertaking hefty projects in financial industries and real estate.

Tax incentives, legal system overhauls, rebates for businesses and labor market reforms are at the top of the to-do list for these emerging market countries in an effort to entice foreign institutions to divert funds in their direction. Another tool, the so-called investment promoters, usually funded by governments, utilize their significant budgets to liaise with key CEOs, bank officials and fund managers in order to secure long-term resources for their clients. These efforts seem to be producing results. Shored up by foreign investors, private equity markets in these countries are building up momentum. Local banking is enjoying an influx of capital, and securities markets as a result take on both diversity and liquidity. From the heights of virtual reality the outlook appears to be quite favorable. The flipside, however, points to economic ups and downs as well as rivalry and stiff competition among peers in the not so distant future.  (source)

CAPITAL MARKETS - Albaraka Turk Falls After First-Quarter Profit Misses Estimates

www.bloomberg.com - Albaraka Turk Katilim Bankasi AS (ALBRK), a Turkish Islamic bank, fell after its first-quarter profit trailed estimates.
The shares dropped 3.1 percent to 1.87 liras at 10:58 a.m. in Istanbul.
Albaraka reported a net income of 39.2 million liras ($22 million), according to a statement to the Istanbul Stock Exchange on Friday, lagging the 51.2 million liras average forecast by six analysts on Bloomberg. The bank earned 41.2 million liras in the first quarter of last year. (source)

CAPITAL MARKETS - Turkey set to launch sukuk push with 2012 sale

http://en-maktoob.news.yahoo.com.ANKARA, April 17 (Reuters) - The Turkish government will press ahead with its first issue of Islamic bonds this year and the planned sale should encourage private companies to do likewise and boost Istanbul's role as a financial centre, Deputy Prime Minister Ali Babacan said on Tuesday.

The government had said previously it could issue a sukuk in 2012, overcoming sensitivities about Islamic finance in the secular republic as it seeks to tap a rich pool of investors flush with oil money.  (source)

CAPITAL MARKETS - The Turkish Treasury close to launch Islamic rent certificates

www.hurriyetdailynews.com - The Turkish Treasury will soon issue rent certificates, says Deputy Prime Minister Ali Babacan. Introducing sharia compliant investment tools will encourage private sector, he adds.

Turkey should assume its place in the fast-growing market of rent certificates that are compliant with Islamic law, Deputy Prime Minister Ali Babacan said yesterday.

“We find [developing the sukuk market] important in terms of the diversification of financial sources and investment options for both national and international investors. The Turkish Treasury’s move to issue rent certificates will encourage the private sector as well. We have completed regulations on rent certificate issuance,” he said at a joint press conference with Finance Minister Mehmet Şimşek.  (source)

CAPITAL MARKETS - Kuveyt Türk Participation Bank B Type SilverPlus ETF is applied to be listed on İMKB

www.ise.org - Bizim Securities applied for public offering and listing of “Kuveyt Türk Participation Bank B Type SilverPlus ETF", to be issued by Kuveyt Türk, on March 23, 2012. (source)

CAPITAL MARKETS - Turkey ready for joint bourse index with Gulf

www.hurriyetdailynews.com - Istanbul Stock Exchange (İMKB) Head İbrahim Turhan said Turkey, Dubai and Abu Dhabi had agreed in principle to launch a joint index, as studies continued for such an attempt with Egypt. Plans for sukuk (Islamic banking) bonds are also on the way, Turhan said, speaking on the second day of the Arab-Turkish Banking and Finance Forum in Istanbul. (source)

CAPITAL MARKETS - Istanbul Stock Exchange's CEO and chairman unveils plans to expand Shariahcompliant securities

www.euromoney.com - Ibrahim Turhan, newly appointed CEO of Istanbul Borsasi, talks exclusively to Euromoney about his plans to expand Shariah-compliant products
Ibrahim Turhan, the CEO and chairman of Istanbul’s stock exchange, exclusively met with Euromoney in Turkey and revealed ambitious plans to reform the Turkish capital markets.
However, his first action as chairman was more symbolic than practical: renaming the stock exchange.
The Istanbul Stock Exchange is now known as Istanbul Borsasi. This might seem a small change but it is significant to Turhan. (full story)

BANKING - Turkish Stocks: Akbank, Albaraka, Tofas, Turkish Airlines Move

www.bloomberg.com - Albarak Turk Katilim Bankasi AS (ALBRK) , an Islamic bank (QIBK), dropped 3.1 percent to 1.89 liras, its biggest loss since Jan. 6. Albaraka won’t pay a dividend from last year’s profit, the lender said in a statement to the exchange today. (source)

FINANCE - İstanbul’s bid to become IFC looks cloudy as progress continues to delay

www.todayszaman.com - The hope that İstanbul will become an international financial center (IFC) in the near future has been disappearing as progress on the project has been slow in many respects.

 

The long-overdue project has been talked about for years by many politicians and has remained music to the ears of society. In 2007, the ruling Justice and Development Party (AK Party) government set about developing İstanbul into an IFC as one of its major long-term economic goals. Steps taken by the current ruling party has many ordinary citizens believing it would be accomplished; however, some experts argue that the achievement of such a goal in the near future is a dream due to a lack of necessary policies and regulations. (source)

CAPITAL MARKETS - Kuveyt Turk says may issue lira sukuk this year

www.reuters.com - Feb 17 (Reuters) - Kuwait Finance House's Turkish bank Kuveyt Turk, which issued a $350 million sukuk last year, may issue a lira sukuk in Turkey this year, Murat Cetinkaya, Kuveyt Turk deputy chief executive, told Reuters.

"This year a lira sukuk issuance is among our priorities," Cetinkaya, who is responsible for treasury, international and investment banking at Kuveyt Turk, said in an interview. (source)

BANKING - Isyatirim evaluates Albaraka Turk up

2012 Feb Isyatirim Albaraka Trk

CAPITAL MARKETS - APPOINTMENT - New İMKB President İbrahim Turhan assumes office

Mustafa İbrahim Turhan took over the office of president of the İstanbul Stock Exchange (İMKB) from Hüseyin Erkan at a ceremony held at İMKB headquarters in İstanbul on Monday.

Turhan, who was formerly one of the four vice governors of the Central Bank of Turkey, announced the new administration’s targets at the ceremony and praised former president Erkan for his high achievements that lacked any moral flaw. (source)

ARTICLES - SPECIAL COMMENT: Turkish exchange plans ties with UAE and Egyptian markets

alifarabia.com - By Rushdi Siddiqui, Global Head of Islamic Finance, Thomson Reuters
Turkey has been building capital market bridges to GCC and South East Asia, and chairman of the Istanbul Stock Exchange, Hussain Erkan, has been a leading architect in establishing dialogue, hosting events, and facilitating cooperation and coordination with his counterparts for both Islamic and conventional finance. In this interview, Erkan shares his thoughts on the challenges and progress of Islamic finance in Turkey, among various other issues. He is hopeful that the improvements made should be able to attract investors from the GCC. (source)

CAPITAL MARKETS - Dow Jones Indexes: Turkey has most ‘sophisticated' financial market in region

The İstanbul Stock Exchange (İMKB) is “more sophisticated” than its regional competitors in the Middle East, North Africa and Eastern Europe according to Dow Jones Indexes' Senior Director of International Markets and Products Deborah Ciervo.

Ciervo, speaking with Today's Zaman, praised the depth of knowledge and expertise in terms of trade execution, which provides the İMKB with liquidity and a market that "continuosly moves,” while other regional exchanges have seen their liquidity and trading volume slow down over the past three years. Ciervo added that one of İstanbul's competitor, Moscow, is not as accessible to foreign investors as the İMKB due to a less open and favorable legal and regulatory framework. (source)

CAPITAL MARKETS - Islamic Bond Alert

ALBARAKA TURK KATILIM BANKASI AS (ALBRK): The Turkish Islamic bank owned by Bahrain-based Albaraka Banking Group BSC hired Deutsche Bank AG, Emirates NBD, QInvest Llc and Noor Islamic Bank to manage a sale of as much as $200 million of five-year Islamic bonds, it said in a statement to the Istanbul Stock Exchange on Oct. 21. 

ASYA KATILIM BANKASI AS (ASYAB): The Turkish Islamic bank will offer as much as $300 million of five-year sukuk. Bank Asya, as the lender is known, hired Citigroup Inc. and UBS AG for the sale and has started talks with investors, the bank said in a filing with the Istanbul Stock Exchange.(source)