CIMB Islamic named The Banker’s Global and Asia-Pacific Islamic Bank of the Year
Kuala Lumpur: The global Islamic finance industry has never been better, with more regulators being receptive to facilitating its growth, said CIMB Islamic after being named the Global Islamic Bank of the Year and Asia-Pacific Islamic Bank of the Year by The Banker, the world’s longest running international banking publication.
“This must be translated, however, into actual regulation to enable real facilitation. There is a need for a comprehensive, effective regulatory framework in the many countries where Islamic finance is practised. Without such support, opportunities to scale up cross-border initiatives will be limited. The real growth potential of the industry could be three to four times what it is today,” said Badlisyah Abdul Ghani, Executive Director and Chief Executive Officer, CIMB Islamic Bank.
“Malaysia has the most liberalised and conducive market for Islamic finance, one which all other markets in the world should aspire to be. Sukuk has outpaced conventional bonds in terms of growth and the same can be said about Islamic financing in the banking sector in Malaysia. I don’t see this trend changing. We will see a lot of infrastructure and development projects which require funding source and sukuk has become a popular choice. As such, we see a healthy deal pipeline at CIMB and expect to end this year on a high again,” he added.
In its inaugural Islamic Bank of the Year Awards, The Banker honoured CIMB Islamic with its two most prestigious accolades in recognition of the bank’s strong management, sound business model and prudent risk approach.
“We achieved record-breaking revenue growth in 2012. We attribute this strong growth to our business model, what we call ‘the dual banking leverage model’, which allows us to have effective and real scale, as well as depth, in our ability to support the needs of consumers in the markets we serve. There will always be competition but more importantly, our focus is always to be a significant player in the market and to continue delivering the best for our customers, rather than focusing on rankings per se,” said Badlisyah.
According to The Banker, Islamic banks worldwide continue to post impressive figures, and CIMB Islamic in particular enjoyed a record year in 2012 despite ongoing global financial turmoil and increased competition in the bank’s key markets.
“We are especially proud of our involvement in Islamic IPO transactions in 2012. The successful closure of the Felda Global Ventures’ US$3.2 billion IPO was consistent with the Shariah parameters set by the Securities Commission of Malaysia and other Islamic indices to attract a broader investor base. Given the appetite, we hope to see more Islamic IPOs coming to market in the near future,” he shared.
In 2012, the banking group’s total Islamic financing assets grew 22% to RM36.3 billion and total Islamic deposits rose 23% to RM38.9 billion.
"We are delighted to have CIMB Islamic as our Global and Asia-Pacific winner in The Banker's first ever Islamic Banking Awards. A panel of judges including top experts in the Islamic banking field concluded that amidst stiff competition CIMB displayed top qualities in the sector. The judges were particularly impressed by CIMB Islamic's growth, its business model and its string of ground-breaking sukuk deals," said Brian Caplen, Editor of The Banker.
In addition, CIMB Islamic was also crowned Asia and Malaysia’s Islamic Bank of the Year, Asia-Pacific’s Best Islamic Investment Bank, Best Islamic Asset Management House and Sukuk House of the Year at The Asset magazine’s recent Triple A Islamic Finance Awards 2013, further cementing the bank’s leadership in the thriving Islamic finance industry.