Islamic Banking

Deutsche Bank In Malaysia Broadens Islamic Offering

Vanessa Doctor Asia Editor 2 March 2010

Deutsche Bank In Malaysia Broadens Islamic Offering

Deutsche Bank has received an international Islamic banking license from Bank Negara Malaysia, as part of the former's plan of opening up more of its global Islamic services to Asian clients.

Deutsche Bank International Islamic Banking Malaysia allows its parent to to provide both Islamic and investment banking services denominated in foreign currencies to institutional customers in the region. Malaysia is the best jump-off point for the bank's network as it holds the position as an international Islamic finance centre.

"Making our conventional product platform available to clients in a Shariah compliant format greatly increases our competitive position, while contributing to the market's broader development," said Jamzidi Khalid, the chief executive officer of the Islamic unit and head of Islamic structuring for Asia ex-Japan, in a statement.

"This is particularly true of the Islamic bond market, where we hope to leverage our position as the number one arranger of conventional international bonds in Asia," he added.

More than 50 per cent of the total Islamic bond issuances in 2009 were attributed to Asian activity, or $11.74 billion of the global total of $20.41 billion for the year, the company said citing a Reuters survey. Deutsche Bank has been providing Islamic financial services in the region since 2007, which began with an $850 million sukuk offering. This was followed a massive $1.4 billion deal with Parkson Retail Group to close the first-ever concurrent exchangeable sukuk and equity placement in Asia.

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