The FINANCIAL — Deutsche Bank AG on March 1 announced it has received an International Islamic Banking license from Bank Negara Malaysia, allowing the Bank to more easily provide Islamic commercial and investment banking services denominated in foreign currencies to institutional clients throughout Asia.
Deutsche Bank AG, International Islamic Banking, Malaysia Branch will provide a range of products, from simple flow requirements to more tailored structures that fit the individual needs of the Bank's corporate and institutional clients.
Raymond Yeoh, Chief Country Officer for Deutsche Bank (Malaysia) Berhad, says the new license gives clients in Asia better access to Deutsche's leading global Islamic banking platform.
"Deutsche Bank has a proven track record of innovation in wholesale Islamic finance. Our Islamic Banking License will make this innovation more easily available to our clients in Asia while contributing to Malaysia's position as an international Islamic finance centre".
Jamzidi Khalid, CEO of Deutsche Bank AG International Islamic Banking and Head of Islamic Structuring for Asia ex-Japan, says the license helps make the Bank's leading conventional products and services more accessible to clients with Shari'ah-compliant financial needs.
"Making our conventional product platform available to clients in a Shari'ah-compliant format greatly increases our competitive position, while contributing to the market's broader development. 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".
Asia accounted for over half of all Islamic bond (sukuk) issuance in 2009, with USD11.74 billion issued from the region and USD20.41 globally, according to Zawya Dow Jones. Deutsche Bank is currently ranked number one for international Islamic bond issuance and Asian international bond issuance for 2010, according to Bloomberg.
Deutsche Bank is a leading provider of Islamic financial services in Asia. In 2008, the Bank jointly closed Asia's first-ever concurrent exchangeable sukuk and equity placement, with a USD1.4 billion deal for Parkson Retail Group. This followed a USD 850m a sukuk offering that was exchangeable into Plus Expressways, which successfully closed in July 2007.
Deutsche has also been active in providing a range of investment and risk management products to institutional clients in Asia, including investment and risk management structures.
Deutsche Bank works with one of the leading panels of Islamic scholars to ensure its products' strict compliance with Shari'ah principles. The panel comprises: Dr Hussein Hamed Sayed Hassan; Dr Ali Al-Qaradaghi; Dr Abdul Sattar Abu-Ghuddah; Dr Mohamed Daud Bakar; Dr Aznan Hasan; Dr Muhammad Qaseem; and Dr Nik Muhamad Hafiz Nik Hassan.