KFH Group traded $11.4bn in sukuk market in 2016
Al-Roshood: KFH primary dealer in IILM, global market maker
“Kuwait Finance House Group (KFHGroup) volume traded in the Sukuk market reached $11.4 billion for the year 2016. Such volume is yet another outstanding achievement to be added to KFH record as a primary dealer and a global Sukuk market maker” said Abdulwahab Essa Al-Roshood, Group Chief Treasury Officer at KFH.
He added, in a press release, that the bank managed in 2016 to achieve remarkable development in the Sukuk market at the regional and global levels as it motivated and encouraged a number of conventional and Islamic financial institutions to enter the market. KFH occupied a great share of the secondary market short-term Sukuk trading issued by International Islamic Liquidity Management (IILM) since KFH was nominated “Primary Dealer”.
He emphasized that this volume of trading has contributed significantly to the increase of liquidity and to the support of Islamic financial markets. Sukuk boost Islamic finance, strengthen its pillars and highlight KFH role as a pioneer in this market.
He reiterated the focus on the Group efforts, indicating that managing KFH Group efforts contributed in reinforcing leadership in the Sukuk Market, especially that the Group banks are spread over key regions including Turkey, Malaysia and Bahrain.
Al-Roshood stated that Sukuk are the most significant and powerful low risk investment financing tool which contributes effectively to the process of encountering liquidity crises. Sukuk are characterized as instruments of high liquidity, active secondary market, flexibility and good returns. Sukuk represent a significant investment outlet for banks and an effective tool to manage liquidity in accordance with CBK regulations. In addition, Sukuk contribute in increasing shareholders profit.
He highlighted that Sukuk contribute significantly in financing income generating and productive projects, thus activate economic growth, indicating several countries worldwide voice interest and mull deliberately issuing sovereign Sukuk in an attempt to plug their budget deficit.
Meanwhile, International Islamic Liquidity Management, IILM expressed appreciation for KFH’s excellent and strong performance, indicating that KFH has contributed strongly to the distribution of the IILM Sukuk.
KFH was established in Kuwait in 1977 and is enlisted in the Kuwait Stock Exchange. KFH Group is a global pioneer in the field of Islamic banking services, where it offers a wide array of Islamic products and services, not to mention a high standard of innovation and client service.
KFH manages its operations in the GCC, Asia, and Europe through over 446 branches, including KFH-Turkey, in order to offer services for the bank’s clients in Turkey, Malaysia, Saudi Arabia, Bahrain, Germany, Jordan, and Dubai.