FINANCE - ICIEC and Turk Eximbank sign co-operation agreement

In a move designed to help Turkish investors and contractors doing business in the member countries of the Organisation of Islamic Cooperation (OIC), the Islamic Corporation for the Insurance of Investment and Export Credit (ICIEC), and Turk Eximbank, Turkey’s National Export-Import Credit Bank, recently signed a Memorandum of Understanding (MoU) at the annual meeting of the Aman Union (the association of Arab and Islamic Export Credit Agencies).  (source)

TRADE FINANCE - ITFC, AKTIF Bank Introduce Structured Trade Financing Model in Turkey and Provide $40M Trade Financing to Tiryaki Agro

Istanbul, Oct. 2011: The International Islamic Trade Finance Cooperation (ITFC), a member of the Islamic Development Bank Group, in cooperation with Aktif Bank signed a US$40 million financing facility in favor of the leading Turkish grain trader Tiryaki Agro.

By signing this deal, ITFC has completed its first structured trade finance (STF) deal in Turkey in which Aktif Bank poses the role of agent bank. The STF is an innovative financing technique designed for developing markets and is considered more secure than traditional lending. The model is an alternative to conventional payment guarantees and the focus is on the cash flow unlike unsecured financing. The off balance sheet financing model, is self liquidating and risks mitigate on assets enabling the beneficiary to be in a better financial position.

 

With the view of promoting intra-OIC trade, ITFC and Aktif Bank cooperation brings new financing models to OIC member countries. ITFC’s CEO Dr. Waleed Al-Wohaib emphasized on the importance of Trade Financing in developing Trade relations between OIC member countries, he said ”We are pleased to provide financing to Tiryaki Agro through Aktif Bank”. Al-Wohaib also underlined the significance of utilizing the new Structured Trade Financing model in other sectors in addition to the agriculture sector.

 

From his end, Aktif Bank’s CEO Dr. Önder Halisdemir commented on the signing “ITFC has successfully implemented Structured Trade Financing in many countries, and now, through Aktif Bank, Turkish companies will start benefiting for the first time from the new Financing model, especially in the food, petrochemical, steel and fertilizer sectors.

 

Source :  http://www.itfc-idb.org/content/itfc-aktif-bank-introduce-structured-trade-financing-model-turkey-and-provide-40m-trade-fina - Oct 25, 2011

TRADE INSURANCE - ICIEC and EXIM BANK - Demand for political risk insurance in MENA region up

One of the important issues to emerge from the second annual meeting of the Aman Union, the association of investment and export credit agencies in the Arab and Islamic world, which was held in Istanbul last week under the aegis of the Turk Eximbank, is the increased demand for political risk insurance especially insuring risks in post-conflict countries and those undergoing economic and political transformation. This is especially from those countries whose exporters are active in the OIC countries. (source)

TRADE FINANCE - Turkey Eximbank to Offer Risk Insurance for Exports, Dunya Says

Turkey’s Export-Import bank signed an agreement with Saudi Arabia’s Islamic Development Bank to offer political risk insurance to exporters and help Turkey’s trade with Islamic countries, Dunya newspaper reported. (source)

FINANCE - Aktif Bank made a Trade Finance Program Agreement with Asia Development Bank and Islamic Trade Finance with ICIEC

Aktif Bank has been one of the 5 banks with which Asia Development Bank has signed a Trade Finance Program (TFP) agreement for strengtening trade with Turkey

Achieving very successful Results in retail and institutional banking fields thanks to its innovative approach called “New Generation Banking”, and to its technology-focused unique business model, and being Turkey’s first and only direct bank launching many new products into banking sector, Aktif Bank signed a “Trade Finance Program (FTP)” agreement with Asia Development Bank, whereby Aktif Bank customers will now be capable of expanding their trade opportunities and trade cooperation between Turkey and Asia will grow. (source)

TRADE FINANCE - Islamic trade finance sector to see expansion

Islamic trade finance has benefitted from shifting preferences towards Shariah-compliant banking and could serve as one of the key growth drivers to help the nearly $1 trillion Islamic finance industry double in size. 

The global Islamic finance industry, which has been growing between 15 to 20 per cent a year, is widely expected to reach $2 trillion in the next three to five years.

While Islamic banking and Islamic bonds, or sukuk, are expected to lead growth, bankers say Islamic trade finance could serve as the dark horse emerging to propel the industry further.

Trade finance, the lifeblood of global commerce, underpins 60-80 per cent of the $12-13 trillion trade in global merchandise and practitioners say it is safer than other forms of lending. (source)

TRADE FINANCE - Islamic trade finance seen lifting growth of sector

DUBAI, June 9 (Reuters) - Islamic trade finance has benefitted from shifting preferences towards Sharia-compliant banking and could serve as one of the key growth drivers to help the nearly $1 trillion Islamic finance industry double in size.\

The global Islamic finance industry, which has been growing between 15 to 20 percent a year, is widely expected to reach $2 trillion in the next three to five years. (source)

FINANCE - Vying for global markets, Konya business circles tired of clichés about their city

The conservative tendencies of Konya, a center of culture and politics from as early as the period of the Seljuks, will continue to attract public debate around the city and pollsters interested in the city to assess whether its conservative residents apply a sort of ‘social pressure’ on others who have a different way of life.

TRADE FINANCE - Sukuk market will bounce back over the next two years

ELAF Bank is a wholesale Islamic bank incorporated in Bahrain in 2007. Its shareholders include Aref Investment Group of Kuwait; Kuwait Investment Company (KIC); Sukuk Holding Company; Islamic Corporation for the Development of the Private Sector (ICD), the private sector funding arm of the Islamic Development Bank; and Qatar Islamic Bank.

It started with the original objective of developing a secondary market in sukuk and to be a market maker. In fact its original name was the cumbersome Sukuk Exchange Central Bank. But the oncoming global financial crisis forced the bank to retreat into more vanilla investment banking to generate enough income to cover its expenses and to prepare for the recovery in the market in 2010-2011.

FINANCE - Turkey offers big opportunities for UAE businesses

DUBAI -- A recently-released Dubai Chamber of Commerce & Industry study on Turkey's economic status maintained that the country could hold lucrative opportunities for the UAE businesses, not only for trade and investment in the domestic market, but also in partnership with Turkey, in investment and trade with Africa, Central Asia and Eastern Europe. 

REPORT - Revised third edition of the working communiqué titled “Turkey Experience- From Crisis to Stability” has been published.

Revised third issue of the working communiqué, which was prepared in April 2009 by the technical working group established with the participations of the Central Bank of the Republic of Turkey, the Savings Deposit Insurance Fund and the Turkish Treasury in coordination of the Banking Regulation and Supervision Agency in line with the activities of G-20 countries and revised second issue of which was published in December 2009, concerning the sources of 2000-2001 crisis, crisis management process, reform studies on financial stability and the experiences obtained in this process, has been published.

GENERAL - FINANCE - Referendum victory pushes bourse to new records

After a recess of four and half days due to Eid-al-Fitr, the Turkish markets resumed with the excitement of a clear victory for “yes” votes in the latest referendum on a set of amendments meant to democratically redesign the Constitution.

ISLAMIC TRADE FINANCE - ITFC Supports Intra OIC Trade by $1.25B During First Half 2010

ITFC Trade Finance Operations Helps Bolsters Intra-OIC Trade and Assists with Sustainable Economic Development in Order to Enhance the Welfare of Millions of Lives across the Muslim World.

The International Islamic Trade Finance Corporation, ITFC, a member of the Islamic Development Bank Group, announced that it carried out 36 trade finance operations with a total value of $1.253 billion in favour of 16 countries during the first half 2010.

Commenting on the results of the first half of 1431 (2010), Dr. Waleed Bin Abdul Mohsen Al-Wohaib, CEO ITFC, said: "These results reflect our continued efforts to advance trade by contributing to the development of markets and trading capacities to help member countries do business more effectively, in addition to being catalysts for economic solidarity, to facilitate and develop trade through the establishment of new trade links among the Organization of Islamic Conference (OIC) Member Countries".