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Global Islamic Financing Market 2015-2019

Global Islamic Financing Market 2015-2019

Market outlook of Islamic banking and financing

Islamic banking and financial vendors are increasingly seeking diversification into foreign investments on account of strong growth prospects and higher investment returns. Technavio’s market research analysts predict the global Islamic financing market to record a CAGR of close to 19% during the 2015 to 2019 period.

The market is expected to witness an increase in the demand for sharia-compliant assets in Asian markets, including Malaysia, and Indonesia. Islamic banks located in Iran and GCC are also expanding operations in countries like Singapore to deploy Islamic funds strategically to corporates in the different regions across the globe, through Islamic bank financing, and Sukuk issuances. Similarly, other countries offering strong political support with various tax incentives for institutional investors will attract significant investments through Islamic banking in the years to come.

Global Islamic finance segmentation by product

Sukuk outstanding

Islamic funds' assets

Takaful contributions

Islamic banks will produce more customized products and services for the clients over the forecast period. Governments of different developing economies are also focusing on the regulatory intervention that help the key market players to expand their customer base. In countries like UAE the Islamic banking industry is estimated to grow at more than twice the rate of conventional banking which would considerably spur the growth of the Islamic banking assets over the next fore years.

Geographical segmentation and analysis of the global Islamic banking financing market

GCC

MENA

Asia

Sub-Saharan Africa

Other regions

This market research report predicts the global Islamic financing in Asia to reach a market size of over USD 985 billion by 2019 with the growth of Islamic financing in countries like Bangladesh, Indonesia, Malaysia, and Pakistan.

The asset-backed nature of Islamic financing is ideal to build highway networks, new ports and other huge investment projects. An estimated USD 800 billion worth of infrastructure financing will be needed each year in Asia over the next decade. During the forecast period, countries such as Hong Kong, China, and Thailand will also witness a growing niche of Islamic finance.

Vendor analysis of the global Islamic financing market

Low market penetration of Islamic products in most of the emerging markets has created an attractive growth opportunity for the top market players. Market expansion strategies are crucial to the enhancement of Islamic products and services. To capitalize on the market opportunity, the leading players are expected to focus more on devising and developing effective marketing channels by affiliating with various distribution channels as per the forecast.

Al Rajhi Bank

Abu Dhabi Islamic Bank

Al Baraka Banking Group

Dubai Islamic Bank

Emirates NBD Key questions answered in the report

What are the key factors driving the global Islamic financing market?

What are the key market trends impacting the growth of the global Islamic financing market?

What are the various opportunities and threats faced by the vendors in the global Islamic financing market?

Trending factors influencing the market shares for GCC, MENA (ex. GCC), Asia, Sub-Saharan Africa, and other regions?Key outcome of the five forces analysis on the global Islamic financing market?

Growth forecast of the global Islamic financing market until 2019?

Technavio also offers customization on reports based on specific client requirement.

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Press Release

Technavio Announces the Publication of its Research Report – Global Islamic Financing Market 2015-2019

Technavio recognizes the following companies as the key players in the Global Islamic Financing Market: Al Rajhi Bank, Abu Dhabi Islamic Bank, Al Baraka Banking Group, Dubai Islamic Bank and Emirates NBD

Other Prominent Vendors in the market are: Bank Mandiri, HSBC Amanah (Malaysia) and Asuransi Jiwa BRINGIN JIWA SEJAHTERA

Commenting on the report, an analyst from Technavio’s team said: “Islamic financing needs to enhance the current operating model by tailoring products in line with customer specifications and market demands. Such strategies will likely attract a large number of depositors and may help expand retail and industrial credit services.”

According to the report, many banks like the Dubai Bank in the UAE and Kuwait International Bank have converted their entire operations to become Sharia-compliant. Islamic banks have started to expand globally with a sharper focus on African and Asian markets. Examples of these banks include Qatar Islamic Bank and Al Rajhi Bank. As there are a number of global players in the marketplace, people are highly aware of Sharia-compliant products and services.

Further, the report states that there is an enormous shortage of skilled manpower that understands Sharia principles and the complexities of Islamic jurisprudence.

Companies Mentioned

Al Rajhi Bank, Abu Dhabi Islamic Bank, Al Baraka Banking Group, Dubai Islamic Bank, Emirates NBD ,Bank Mandiri, HSBC Amanah (Malaysia),Asuransi Jiwa BRINGIN JIWA SEJAHTERA

  • Executive summary
    • Highlights
  • Scope of the report
    • Market overview
    • Top-vendor offerings
      • Table Product offerings
  • Market research methodology
    • Research methodology
    • Economic indicators
  • Introduction
    • Key market highlights
    • Core principles of Islamic finance
      • Table Basic principles of Islamic finance
    • Difference between conventional financing and Islamic financing
      • Table Difference between conventional financing and Islamic financing
  • Market landscape
    • Market overview
      • Table Islamic financial contracts
      • Table The Murabaha model
      • Table Types of Musharaka
      • Table Types of Ijara
      • Table The Ijara model
      • Table Structure of Istisna
    • Market size and forecast
      • Table Global Islamic financing market ($ billions)
    • Five forces analysis
      • Table Five forces analysis
  • Market segmentation by product
    • Global Islamic finance segmentation
      • Table Global Islamic financing segmentation by product
    • Banking assets
      • Table Global Islamic banking assets ($ billions)
    • Islamic Sukuk outstanding
      • Table Global Islamic Sukuk outstanding ($ billions)
    • Islamic funds' assets
      • Table Global Islamic funds assets ($ billions)
    • Takaful contributions
      • Table Global Islamic Takaful contributions ($ billions)
  • Geographical segmentation
    • Global Islamic financing segmentation by regions
      • Table Global Islamic finance segmentation by region
    • Islamic financing market in GCC
      • Table Islamic financing market in GCC ($ billions)
    • Islamic financing market in MENA (ex. GCC)
      • Table Islamic financing market in MENA (ex. GCC) ($ billions)
    • Islamic financing market in Asia
      • Table Islamic financing market in Asia ($ billions)
    • Islamic financing market in Sub-Saharan Africa
      • Table Islamic financing market in Sub-Saharan Africa ($ billions)
    • Islamic financing market in other regions
      • Table Islamic financing market in other regions ($ billions)
  • Market drivers
  • Impact of drivers
    • Table Impact of drivers
  • Market challenges
  • Impact of drivers and challenges
    • Table Impact of drivers and challenges
  • Market trends
  • Vendor landscape
    • Competitive scenario
    • Market share analysis 2014
    • Other prominent vendors
  • Key vendor analysis
    • Al Rajhi Bank
      • Table Al Rajhi Bank: Business segmentation
      • Table Al Rajhi Bank: Business segmentation by gross financing and investments income 2014
      • Table Al Rajhi Bank: Business segmentation by gross financing and investments income 2013 and 2014 ($ millions)
    • Abu Dhabi Islamic Bank
      • Table Abu Dhabi Islamic Bank: Business segmentation
      • Table Abu Dhabi Islamic Bank: Business segmentation by revenue 2014
      • Table Abu Dhabi Islamic Bank: Business segmentation by revenue 2013 and 2014 ($ millions)
    • Al Baraka Banking Group
      • Table Al Baraka Banking: Geographical segmentation by revenue 2014
    • Dubai Islamic Bank
      • Table Dubai Islamic Bank: Business segmentation by net operating revenue 2014
      • Table Dubai Islamic Bank: Business segmentation by net operating revenue 2013 and 2014 ($ millions)
      • Table Dubai Islamic Bank: Geographical segmentation by revenue 2014
    • Emirates NBD
      • Table Emirates NBD: Business segmentation 2014 by revenue
      • Table Emirates NBD: Business segmentation by revenue 2013 and 2014 ($ billions)
    • HSBC
      • Table HSBC: Business segmentation by net interest income 2014
      • Table HSBC: Business segmentation by net interest income 2013 and 2014 ($ millions)
      • Table HSBC: Geographical segmentation by revenue 2014
    • Kuwait Finance House
      • Table Kuwait Finance House: Business segmentation by revenue 2014
      • Table Kuwait Finance House: Business segmentation by revenue 2013 and 2014 ($ millions)
      • Table Kuwait Finance House: Geographical segmentation by revenue 2014
    • NBAD
      • Table NBAD: Business segmentation 2014 by revenue
      • Table NBAD: Geographical segmentation by revenue 2014
    • NCB
      • Table NCB: Business segmentation 2014 by revenue
      • Table NCB: Product segmentation 2014
      • Table NCB : Business segmentation by revenue 2013 and 2014 ($ billions)
    • Qatar International Islamic Bank
      • Table Qatar International Islamic Bank: Business segmentation by revenue 2014
      • Table Qatar International Islamic Bank: Business segmentation by revenue 2013 and 2014 ($ millions)
      • Table Qatar International Islamic Bank: Geographical segmentation by revenue 2014
    • Samba Financial Group
      • Table Samba Financial Group: Business segmentation by operating income 2014
      • Table Samba Financial Group: Business segmentation by revenue 2013 and 2014 ($ millions)
  • Appendix
    • List of abbreviations
  • Explore Technavio

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