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24 Nov | Tuesday
Weekly Round-up

Singapore’s nascent Islamic finance industry is finding it tough going amid volatile financial markets and depressed oil revenues. So far this year, there has been only one sukuk, or Islamic bond deal in a fairly brisk fixed-income market which saw 136 bond deals worth S$17.7bln sold in the first nine months of 2015. The lack of a natural pool of Islamic funds in secular Singapore is a major barrier to sukuk launches. The strongest indicator that it's not smooth sailing for Islamic finance players in Singapore came in September when DBS Group Holdings said it will be winding down its Islamic banking unit, which it said has been unable to achieve the necessary economies of scale. While growth in the Islamic finance business in Singapore is moderating in line with slower global growth in Islamic finance, it is important not to take a short-term view. This is because deepening trade and investment linkages between Asia and Middle East will continue to present opportunities for Islamic finance over time. In addition, the Islamic Financial Services Board (IFSB) has also embarked on efforts to promote a more consistent Islamic finance cross-border regulatory frame