Islamic finance industry will consolidate and grow in 2009: says Jamal Hijres - CEO Capinnova Investment Bank
According to the recent Standard and Poor’s rating agency - Islamic banking is expected to reach US$4 trillion in the next 5 years
‘Capinnova Investment Bank’ - the Shari’a compliant investment banking arm of Bank of Bahrain and Kuwait (BBK) is confident about the Islamic finance industry in the region and predicts that it will gather momentum in 2009. Capinnova is licensed by the Central Bank of Bahrain; the bank is well capitalized and is wholly owned by BBK. Capinnova has an authorized capital of US$500 million and paid-up capital of US$125 million.
Capinnova Investment Bank’s, Chief Executive Officer - Mr. Jamal Hijres, stated that, “We are confident about the Islamic finance industry’s future and we are one of the prime examples to support that confidence as our bank was launched in January 2009. The key fact that the Islamic finance industry is asset based and not debt financed, has protected and prevented this sector from the crises that has brought the downfall of conventional financial giants worldwide,” added Mr. Hijres.
“The growth of Islamic banking industry in particular has been remarkable in recent years and it is expected to reach US$4 trillion in the next 5 years according to the recent Standard and Poor’s rating agency. Capinnova Investment Bank aims to leverage on this exponential growth and further strengthen the Islamic Banking industry in Bahrain and across the region,” added Mr. Hijres.
Capinnova’s core areas of business include private equity, asset management and corporate finance and the bank hopes to close its first deals during the first half of the year. The bank develops Shari’a compliant investment products and services for financial institutions, corporate customers, high-net-worth-individuals, investors and family businesses, regionally and globally.
“Capinnova’s vision is to be a world class Islamic investment bank offering a range of high quality products and services to a diverse clientele. Our mission is to become the Islamic investment bank of choice and a niche player, providing clients in the GCC and MENA region with superior investment products aimed at building and sustaining shareholder value, whilst maintaining an optimal balance between risks and returns,” concluded Mr. Hijres.
Capinnova will provide a variety of products, including murabaha, ijara, mudaraba, musharaka, al Salam and istitsna'a, restricted and unrestricted investment accounts, syndications and other structures used in conventional finance, which have been appropriately modified to comply with Shari’a principles.
