It’s the middle of the year, and markets are jittery once more about the health of the global economy. With renowned economist Nouriel Roubini, better known as Dr Doom, saying a perfect storm is brewing that could cripple the world’s economies by 2013; one cannot help but wonder whether we will ever be released from the grip of the Great Recession.
With a new chief in store for the International Monetary Fund, could the organization stand up to its detractors and herald fresh hope for global economic growth? Christine Lagarde, currently the finance minister of France, is a frontrunner for the position of IMF head, and our cover story this week looks at her successes and how her support for Islamic finance could bring the industry to center stage should she be elected.
We are also reminded that pockets of opportunity still exist amid the volatile environment, with articles this week featuring the emerging Islamic finance industry in Thailand and the Philippines, and the developing industry in Indonesia.
Islamic Bank of Thailand highlights the growth of Islamic finance in Thailand and some of the challenges faced by the industry, while 3i Infotech, in its Takaful report, explores the future of Takaful in the country. Law firm Allen & Overy outlines Thailand’s regulatory requirements for Sukuk issuances and tax incentives for Islamic finance.
An article by Al-Amanah Islamic Investment Bank of the Philippines discusses the outlook for Islamic finance in the Philippines. A report from law firm Ali Budiardjo, Nugroho, Reksodiputro presents the Indonesian authorities’ efforts to provide the appropriate legal infrastructure for Islamic finance and delves into the central bank, Bank Indonesia’s new regulations on asset quality.
Meanwhile, the Bank of London and The Middle East writes on the application of the UK corporate governance code and M Ishaq Bhatti, a professor at La Trobe University, analyzes corporate governance in Islamic financial institutions.
Takaful news highlights the latest developments in the Takaful industry and Islamic Investor looks at how Ireland and Oman could emerge as the latest entrants to the Islamic asset management industry, while our Insider report puts Unicorn Investment Bank under the spotlight.
IFN reports this week discuss the potential for renminbi as an asset class for Shariah compliant investments, Singapore’s efforts toward growing the country’s Islamic finance industry, and the industry’s bright prospects in Oman. We also have an interview with Ayman Khaleq, the newly appointed managing partner of Vinson & Elkins’ Middle East offices.
Our IFN correspondents write on the optimistic outlook for Islamic banking in Kazakhstan, Islamic home finance in Germany, the development of Islamic capital markets law in Kuwait and how Islamic finance can help Japan recover from the March earthquake and tsunami.