Dana Gas’s seemingly self-serving flagrant bid to invalidate its Sukuk by calling it “unlawful” and “not Shariah compliant” reminds us that the odds are stacked against Islamic finance. Not only does the industry have to fight hard to fend off threats from the outside – erred misconceptions often rooted in ignorance – but the industry also has to protect itself from those inside the circle. The action of one party could very well destroy years of hard work by countless others in building the industry’s reputation as an advocate for what is just and what is ethical. Years to build, seconds to destroy. This maxim perhaps rings truer than ever for the Islamic finance industry at this point in time.
The Dana case has raised so many questions: does Dana Gas’s claim hold water? What is it exactly about the Sukuk that violates the Shariah? Do scholars agree with it? What are the legal and social implications? With multiple courts from different jurisdictions involved – can a common resolution be achieved? What can Sukukholders do? And what next for the Islamic finance industry? IFN attempts to answer all these in this week’s cover story.
We’re are also delighted to bring you an exclusive on Ghana, exploring how the African nation intends to leverage on Malaysia’s infrastructure and expertise to enter the Sukuk market; we take a look at the rising social media influence Islamic banks are wielding; we break down Meraas Holding’s private Sukuk deal; and bring you a comprehensive look at the lucrative education asset class and Iraqi Islamic banking market – whose growth may just surprise you. We also shine the spotlight on one of the first Islamic smart beta funds recently launched.
We have a wide selection of features from market experts including CEO of Cagamas who explained why the global secondary markets in the Islamic finance industry are underdeveloped as well as from the CEO of Pak Qatar Family Takaful who offers invaluable insights into the Islamic insurance segment.
All of these and more in this week’s issue.
And as usual, we wish you all an informative and insightful read.