GlobalIslamNews

Indian manager hails Iran Oil Show

2011-04-17T21:37:00.000-07:00

Tehran, April 17, IRNA – The visiting sales manager of the Indian Val-tronics L.L.C company described Iran Oil Show 2011 as the best venue to become familiar with potentials of the Iranian and foreign participating companies.

Talking to IRNA, Joyce Jose said this is the fourth time his company is participating in such an event in Iran.

He said his company is highly active in the Middle East, Asia, Pacific and Africa, Islamic Republic of Iran in particular.

Jose voiced his company's willingness to foster mutual ties with the Iranian side.

The 16th Oil, Gas, Refining and Petrochemicals Exhibition is currently underway in Tehran with participation of 1,550 domestic and foreign companies from 40 world countries.

Iran’s oil industry has always been subject to various sanctions but its huge oil and gas resources have prompted the acclaimed international oil companies to invest in Iranian projects in spite of international pressures. Learn more Oil, Power, and Principle: Iran's Oil Nationalization and Its Aftermath

Source : IRNA

Islamic liquidity body to create key tools-bankers

2010-11-26T23:31:00.000-08:00

Lack of liquidity instruments challenge to industry

* Islamic finance industry still developing capital market

* Central banks plan Islamic bond issues

By Frederik Richter

MANAMA, Nov 24 (Reuters) - A new Islamic liquidity management company backed by central banks will provide sound tools to the industry to manage cash, of which regulators will force banks to set aside more post-crisis, bankers said.

The Islamic Financial Services Board (IFSB), an association of regulators in Muslim countries, said in October it would set up the International Islamic Liquidity Management Corporation (ILM) to issue short-term instruments compliant with Islamic law.

The ILM may issue highly rated Islamic bonds, or sukuk, that will be backed by central bank assets as early as next year to help Islamic banks manage their liquidity and create a liquid cross-border market for Islamic instruments. [ID:nLDE6AM15Z]

While the ILM is still hammering out the details, Islamic bankers say it greatly improves the industry's prospects that have been clouded by the lack of liquidity management tools.

"(We need a) readily manageable liquidity platform in the capital markets space and with the Basel III liquidity regulations coming we have to pay even more attention to these issues," said Richard Thomas, chief executive of UK-based Gatehouse Bank.

Bahrain and Malaysia have the only central banks that regularly issue sukuk and bankers said the ILM could be a vehicle for other central banks that have hesitated issuing sukuk on their own due to political reasons.

"If you want to issue sukuk as a central bank and you have the political willingness of doing so you can do it, like Bahrain has been doing it for many years," said Lilian Le Falher, executive manager at Kuwait Finance House Bahrain.

"Maybe having a proxy like the ILM will help (more central banks to follow)," he said.

NO ALTERNATIVES

Currently, Islamic banks are often forced to place the reserve liquidity they need to maintain under central bank requirements with international conventional banks through another Islamic money market tool, commodity murabaha, as there are not enough highly rated sukuk issues they could use instead.

But most Islamic scholars say commodity murabaha is a mere paper trail replicating conventional money market instruments and only grudgingly accept its use as there is no alternative.

"There is a desire within the industry to rely less on commodity murabaha and to have different tools to be able to do liquidity management," said Simon Eedle, head of Islamic banking at Credit Agricole CIB (CAGR.PA).

Islamic bankers face the dilemma that scholars call for their instruments to be underpinned by real assets, but central banks often do not qualify these as being sufficiently risk-free to be used in short-term liquidity management instruments.

The initiative by the ILM could be a way out, but bankers caution the costs of truly backing the sukuk issues with assets could make that more costly. "The main problem we have in Islamic liquidity management is that in a low short-term profit rate environment, it makes it very difficult to do any products based on real assets as the cost of doing so will make the product commercially not viable", said Le Falher. Learn more Islamic Bonds: Your Guide to Structuring, Issuing and Investing in Sukuk (See all Investing Books)

Source : Reuters.com

German firms angry over Berlin's support for EU sanctions on Iran

2010-07-31T00:29:00.000-07:00

Berlin, July 29, - German companies have reportedly vented their anger over Berlin's support for European Union sanctions on Iran, according to Thursday's edition of the business daily Handelsblatt.

Germany's business community is especially disappointed that the center-right government of Chancellor Angela Merkel had backed the EU's punitive measures against Iran which go beyond the UN sanctions.
Foreign Minister Guido Westerwelle who leads the pro-business Free Democratic Party (FDP), had informed the heads of German companies that Berlin would support the disputed EU sanctions.
Germany's controversial sanction policy against Tehran has repeatedly sparked tensions with German business leaders who are very eager to continue their lucrative trade with Iran.
Merkel's Iran sanction strategy has been met with fierce resistance by German companies, feeling abandoned by their government in their efforts not to succumb to US and Zionist political pressure.
German firms are outraged over the fact that even legal business deals with Iran which are not subject to UN sanctions, are being torpedoed by Merkel as well the US and the powerful pro-Israel lobby.
That notwithstanding, German companies remain unfazed by Merkel's policy of discouraging business relations with Iran.
German companies are especially affected by the tightening of the embargo since Iran was the most important export market for Germany in the Middle East and North Africa prior to lauching UN sanctions against Tehran.
Although German firms are determined to maintain their strong business ties with Iran, many Asian and European companies have already replaced them in the Iranian market.
More than 40,000 German jobs are indirectly affected by German-Iranian trade, according to business insiders. Learn more Iran-Europe Relations: Challenges and Opportunities (Durham Modern Middle East and Islamic World Series)

Source : IRNA

Malaysia seeks reforms

2010-07-31T00:20:00.000-07:00

KUALA LUMPUR: Malaysian Sharia finance experts, backed by the central bank, are studying possible conflicts between civil and Islamic law amid a raft of high-profile legal disputes which have dampened the industry's appeal.

Legal wrangles have taken centre stage in Islamic finance in the last year as difficult economic conditions triggered defaults and exposed gaps in legal systems, some of which struggled to deal with Sharia banking disputes for the first time.

Where sukuk holders rank in priority of payment when default occurs and the competence of civil courts to adjudicate on Islamic banking disputes are some issues that have come to the fore in the $1 trillion industry.

Lawyers, bankers and Sharia scholars in Malaysia, which has the world's largest sukuk market, are looking into civil law provisions which may conflict with the Sharia and impede the use of Islamic finance.

"We are producing Islamic products in conventional surroundings. The other laws that are applicable - land law, contract law, all other laws - are conventional laws," Abdul Hamid Mohamad, a former Malaysian chief judge who is heading the expert body, said on the sidelines of a law conference.

"So the question arises whether the implementation of Islamic banking is Islamic."

Any conflicts could be addressed with an amendment of the legislation, he said adding that the group would seek the industry's views.

Islamic banking matters in Malaysia are heard in civil law courts, with one judge dedicated to hearing these disputes.

The $130 billion sukuk market has been a source of financing for issuers from Bahrain to Japan but its reputation has suffered in recent years.

The near-default in December of the dollar-denominated sukuk from Dubai property developer Nakheel shattered perceptions that Islamic financing instruments were a safer alternative.

Source : Gulf Daily News

New reforms urged to support Saudi businesswomen

2010-07-31T00:12:00.000-07:00

by Neeraj Gangal

A new study on women’s businesses in Saudi Arabia has presented eight recommendations to give Saudi women the same opportunities as women entrepreneurs in other Arab nations, according to a report.

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The Arab News daily said on Friday that the study ‘Businesswomen in Saudi Arabia: Characteristics, Challenges, and Aspirations in a Regional Context’, examines the business-enabling environment for women entrepreneurship in Saudi Arabia and highlights the personal characteristics and business profiles of women business owners.

According to the Saudi-based daily, the report compares Saudi women entrepreneurs with their counterparts in five Arab countries: Jordan, Bahrain, the UAE, Lebanon and Tunisia.

The report is intended to strengthen “the understanding of the business and regulatory environment for Saudi businesswomen, to contextualise the situation of Saudi women entrepreneurs through comparison between them and other female entrepreneurs in the region and to identify and address the business challenges these women face in order to create a more supportive environment,” Arab News said.

The study made eight specific recommendations to Saudi policymakers to improve the situation of businesswomen:

The report urged policymakers to establish a Ministry of Women’s Affairs to monitor the implementation of related royal decrees and to devise a national strategy for women’s transition into the economy.

It suggested the appointment of female Shoura members to ensure that the interests of Saudi businesswomen and women in general are represented.

It called on to eliminate the requirement for women to appoint a male manager in businesses that serve both sexes.

The report also asked for ease in restrictions on mobility for women, in terms of public transportation, driving and international travel.

It suggested the creation of registration categories for the types of businesses that are in demand by businesswomen, such as beauty salons and day-care centres, and identify the process for creating new registration categories in the future.

The report called on to commission further research on how to increase the effectiveness of businesswomen’s access to government services by improving female sections as well as the main centres in government agencies rather than a direct channel for them to receive government services.

It urged policymakers to launch a nationwide public campaign to promote women’s economic participation and support the implementation of existing Royal Decrees.

The report also suggested that Saudi policymakers ease hiring practices for businesswomen in areas that require international female expertise or that are unable to be met by Saudi female labour. This includes studying the possibility of granting work permits to non-Saudi women residing in Saudi Arabia on non-work visas.

The 68-page report was co-authored by Noura Alturki and Rebekah Braswell and published by the Monitor Group and Al-Sayedah Khadijah Bint Khuwailad Businesswomen’s Center of the Jeddah Chamber of Commerce and Industry.

This was done with the support of the Centre of Arab Women for Training and Research (CAWTAR) and the International Finance Corporation (IFC), Arab News said.

“This focus comes at a time when we are witnessing a rapid and increased investment in our country’s human resources and economic development,” said Princess Adelah Bint Abdullah, president, Al Sayedah Khadijah bint Khuwailad Businesswomen’s Center.

“Fundamental to this investment has been the inclusion of regulations that encourage greater involvement of women in our work force. The impact of this support can be seen through the growth, productivity and innovation of Saudi Arabia’s women-owned businesses. My wish is that this report will highlight the progress and determination of these businesswomen and serve as a foundation for researchers interested in the socioeconomic development of our beloved country.”

Source : Arabian Business

Islamic Finance Moves Toward Common Standards

2010-06-20T15:27:00.000-07:00

Regulation should help provide a basis for the industry's expansion.

Islamic finance is one of the fastest growing segments of international financial markets. Currently, total sharia-compliant assets amount to an estimated $1.125 trillion to 1.275 trillion, with an annual growth rate of 15-20%. The global credit crunch has not left it unscathed, and recent capital market growth has been hampered by conflicting interpretations of the sharia compliance of specific wholesale product structures (sukuk). Nevertheless, the outlook for the sector is positive.

AAOIFI. Efforts to standardize Islamic financial products should enhance the sector's prospects. The Accounting and Auditing Organization for Islamic Financial Institutions (AAOIFI) plays an important role in this regard:

--Originally subscribed by an alliance of domestic and international Islamic banks as well as the Islamic Development Bank, industry-sponsored AAOIFI has since extended its membership categories to include authorities that regulate and supervise Islamic financial institutions.

--It also offers observer member status to conventional financial institutions that operate Islamic 'windows' (special facilities offered by conventional banks to provide services to Muslims who wish to engage in Islamic banking).

Standards. AAOIFI’s Sharia Standards 2010 contains 41 standards, including 11 new stipulations pertaining to gharar (uncertainty) in financial transactions, arbitration, zakat (alms giving) and online financial transactions among others. Additionally, its Accounting, Auditing and Governance Standards 2010 contains 40 standards covering the areas of accounting, auditing, ethics and the governance of Islamic financial institutions.

National adoption. These standards are primarily targeted at individual Islamic financial institutions, but they have also been adopted at a national level:
--The AAOIFI's standards have been made mandatory for Islamic financial institutions in Bahrain, Dubai International Financial Centre, Jordan, Sudan, Syria and Qatar.

--Last month the State Bank of Pakistan announced that it had begun selectively to implement AAOIFI Sharia Standards and has advised Islamic banks to prepare for the phasing in of further standards in the near future.

--In other countries, including Indonesia, Lebanon, Malaysia, Saudi Arabia and the United Arab Emirates, AAOIFI standards have been incorporated into national guidelines and are adhered to by AAOIFI member institutions.
Standardization issues. The lack of standardization of Islamic financial products has been a major barrier to the cross-border sale of Islamic financial products. The AAOIFI and its sister standard-setting organization, the Kuala Lumpur-based Islamic Financial Services Board (IFSB)--primarily tasked with developing capital adequacy rules for Islamic financial institutions--have become key players in the construction of the emerging international framework that governs Islamic finance. The AAOIFI has over 200 members from 45 countries while the IFSB has 193 members operating in 39 jurisdictions.

More intrusive regulation. So far the compliance of member institutions with the standards can neither be enforced nor fully monitored, unless they are mandated at country level and then enforced by domestic regulators. Last month, the AAOIFI announced a timetable for taking a more intrusive approach to regulating Islamic financial products, including plans to create a watchdog committee--composed of sharia scholars and market practitioners--by the second half of 2010. However, increasingly different trajectories of Islamic banking and Islamic capital market development could in turn affect the further standardization of Islamic financial products.
Challenges. There are two major challenges to the further growth prospects and pace of development of the industry. Both could benefit from enhanced standardization and the AAOIFI's work more generally:

--Interpretation of Islamic law. Given the absence of a highest religious authority in majority Sunni Islam, assessing the Sharia quality of Islamic financial products depends on a number of representatives from different legal schools with sometimes widely varying interpretations.

--Scarcity of qualified sharia scholars. To address the shortage of scholars well versed in both sharia and finance, a number of programs have sprung up that offer degrees in Islamic finance.

Outlook.Overall, the outlook for Islamic finance remains positive. Recent efforts to develop common standards for Islamic financial institutions should help to provide a sound basis for the expansion of the industry.

Source: Forbes

Ahmadinejad: Iran emerging as new global power

2010-06-20T15:20:00.000-07:00

President Mahmoud Ahmadinejad said on Sunday that the Islamic Republic of Iran is now emerging as a new power which has left vital impacts on global developments.
President Ahmadinejad made the remarks in a meeting with the new Iranian Ambassador to Bolivia Alireza Ghezili.

Iran attaches importance to expansion of ties and cooperation with Bolivia, he said and called for expansion of political, economic and cultural ties with the country.

There are amicable ties between the two countries in various fields which are expected to be bolstered, he said.

The new Iranian ambassador to Bolivia should try to help upgrade current level of cooperation between the two countries given Iran’s status among world countries, said the Iranian president.

The status of Iranian ambassadors to other countries is outstanding as Iran has been recognized as a new power having crucial impacts on global developments, he said.

Source : IRNA

's SABIC gets $1bn credit from Alinma Bank

2010-06-20T15:13:00.000-07:00

by Souhail Karam

Saudi based Alinma Bank said it would grant a $1 billion credit facility to Saudi Basic Industries Corp (SABIC), plugging a financing gap at the world's biggest petrochemicals group.

In a statement confirming a report by Al Hayat online news service on Tuesday, Alinma said: "The facility will fund some of SABIC's petrochemical projects as part of its strategic plans to enhance financing performance, boost competitiveness and help it achieve (its) expansion and growth strategy."

It did not disclose the terms of the facilities, saying only they complied with Islamic law.

Alinma was set up by royal decree in 2006. Government owned pension funds are its biggest shareholders with a 30 percent stake while Saudi citizens hold the remaining 70 percent.

SABIC Chief Executive Mohamed al Mady declined to comment while Chief Financial Officer Mutlaq al Morished could not immediately be reached for comment. Alinma said Morished signed the agreement on behalf of SABIC.

SABIC's financial arm SABIC Capital delayed last month a benchmark dollar bond issue due to jitters that hit global credit markets over fiscal problems in some euro zone countries.

It was not immediately clear if there was a link between the Alinma deal announced on Tuesday and the delay in SABIC Capital's delayed bond issue.

Ratings agency Moody's assigned the planned bond an A+ rating and said it understood it would be used to refinance or repay debt at SABIC Innovative Plastics Holding, the renamed GE Plastics.

SABIC Capital was established in 2008 to look after the financing and tax operations of SABIC's investments in Europe and the United States after the acquisition of DSM Petrochemicals and GE Plastics.

Between July 2006 and May 2008, state controlled SABIC raised 16 billion riyals ($4.27 billion) from three Islamic bond issues. It raised $533.2 million in December 2009 from a private bond placement.

A typical benchmark bond issue is for a minimum $500 million. SABIC said that it has to repay $1.47 billion in long term loans in 2010 and $3 billion in 2011.

Source : Reuters

Islamic Finance Moves Toward Common Standards

2010-05-21T19:05:00.000-07:00

By Oxford Analytica,

Regulation should help provide a basis for the industry's expansion.

Islamic finance is one of the fastest growing segments of international financial markets. Currently, total sharia-compliant assets amount to an estimated $1.125 trillion to 1.275 trillion, with an annual growth rate of 15-20%. The global credit crunch has not left it unscathed, and recent capital market growth has been hampered by conflicting interpretations of the sharia compliance of specific wholesale product structures (sukuk). Nevertheless, the outlook for the sector is positive.

AAOIFI. Efforts to standardize Islamic financial products should enhance the sector's prospects. The Accounting and Auditing Organization for Islamic Financial Institutions (AAOIFI) plays an important role in this regard:

--Originally subscribed by an alliance of domestic and international Islamic banks as well as the Islamic Development Bank, industry-sponsored AAOIFI has since extended its membership categories to include authorities that regulate and supervise Islamic financial institutions.

--It also offers observer member status to conventional financial institutions that operate Islamic 'windows' (special facilities offered by conventional banks to provide services to Muslims who wish to engage in Islamic banking).

Standards. AAOIFI’s Sharia Standards 2010 contains 41 standards, including 11 new stipulations pertaining to gharar (uncertainty) in financial transactions, arbitration, zakat (alms giving) and online financial transactions among others. Additionally, its Accounting, Auditing and Governance Standards 2010 contains 40 standards covering the areas of accounting, auditing, ethics and the governance of Islamic financial institutions.

National adoption. These standards are primarily targeted at individual Islamic financial institutions, but they have also been adopted at a national level:

--The AAOIFI's standards have been made mandatory for Islamic financial institutions in Bahrain, Dubai International Financial Centre, Jordan, Sudan, Syria and Qatar.

--Last month the State Bank of Pakistan announced that it had begun selectively to implement AAOIFI Sharia Standards and has advised Islamic banks to prepare for the phasing in of further standards in the near future.

--In other countries, including Indonesia, Lebanon, Malaysia, Saudi Arabia and the United Arab Emirates, AAOIFI standards have been incorporated into national guidelines and are adhered to by AAOIFI member institutions.

Standardization issues. The lack of standardization of Islamic financial products has been a major barrier to the cross-border sale of Islamic financial products. The AAOIFI and its sister standard-setting organization, the Kuala Lumpur-based Islamic Financial Services Board (IFSB)--primarily tasked with developing capital adequacy rules for Islamic financial institutions--have become key players in the construction of the emerging international framework that governs Islamic finance. The AAOIFI has over 200 members from 45 countries while the IFSB has 193 members operating in 39 jurisdictions.

More intrusive regulation. So far the compliance of member institutions with the standards can neither be enforced nor fully monitored, unless they are mandated at country level and then enforced by domestic regulators. Last month, the AAOIFI announced a timetable for taking a more intrusive approach to regulating Islamic financial products, including plans to create a watchdog committee--composed of sharia scholars and market practitioners--by the second half of 2010. However, increasingly different trajectories of Islamic banking and Islamic capital market development could in turn affect the further standardization of Islamic financial products.

Challenges. There are two major challenges to the further growth prospects and pace of development of the industry. Both could benefit from enhanced standardization and the AAOIFI's work more generally:

--Interpretation of Islamic law. Given the absence of a highest religious authority in majority Sunni Islam, assessing the Sharia quality of Islamic financial products depends on a number of representatives from different legal schools with sometimes widely varying interpretations.

--Scarcity of qualified sharia scholars. To address the shortage of scholars well versed in both sharia and finance, a number of programs have sprung up that offer degrees in Islamic finance.

Outlook.Overall, the outlook for Islamic finance remains positive. Recent efforts to develop common standards for Islamic financial institutions should help to provide a sound basis for the expansion of the industry. Learn more Understanding Islamic Finance (The Wiley Finance Series)

Source : Forbes.com

REDUCE VIOLENCE AGAINST WOMEN

2010-05-21T18:54:00.000-07:00

Is there or no relevance to cases of violence and sexual abuse of dozens of women in Purbalingga recently, to fill the new Hijra year event then the Central Executive 'Aisyiyah hold seminars with the theme "Violence against Women and the efforts of Birds." This seminar not only attended by family 'Aisyiyah, but also by representatives of women's organizations and several individual participants.

The seminar would indeed very useful for all who attended and heard directly and did not immediately recall a case of violence against women in Indonesia, the longer it is not less but more precisely. Even the recent cases of violence against women has developed into a complex, not only regarding the number of cases will but also concerning the variation of the case itself. Is actual and concrete examples of violence and sexual harassment in Purbalingga involving dozens of people either perpetrators or victims.

Violence against women with a single perpetrator and victim of a double is very common, so did the actors double and a single victim. However, if violence against women with multiple perpetrators and victims are relatively rare. Especially if both perpetrator and victim each totaling tens o-war at a time. And in our country that really happen in reality, not just intuitive.

In the United States (U.S.), French, Italian, and in other developed countries also found cases of violence against women is still always just happen. In the U.S. there is even a "maniac" who could kill dozens of dating and then the woman at the same time. Even in France today there are many women who allegedly suffered a violent treatment of the opposite sex. Learn more Women

Source : Ki Supriyoko, jounal.amikom.ac.id

UAE money supply growth slows to 2.1% at April end

2010-05-21T18:48:00.000-07:00

Money supply in the UAE grew 2.1 percent year on year at the end of April, down from a 3.3 percent rise in the previous month, central bank data showed on Wednesday.

M3, the broadest measure of money circulating in the economy and an indicator of future inflation, grew only 1.4 percent in February in the slowest pace since at least 2001 as banks grappled with Dubai's debt restructuring.

It rose to $256.2 billion at the end of April, from $254.5 billion at the end of March, the data showed.
Money circulating in the second largest Arab economy and the world's third largest oil producer had more than doubled in the two years to the end of 2008.

Bank credit grew 2.4 percent year on year to $278.2 billion in April, but edged down marginally from $278.24 billion in March, the data showed.

Provisioning levels for non performing loans rose 4.7 percent month on month to $9.8 billion to reach their highest level since at least December 2008, up from a 2.4 percent rise in March. Learn more United Arab Emirates Court of Cassation Judgements (Arab and Islamic Laws Series, 17)

Source : Reuters

23rd Int’l Kharazmi Festival starts

2010-02-07T14:04:00.000-08:00

Tehran, Feb 7, IRNA – The 23rd International Kharazmi (Khwarizmi) Festival kicked off in Tehran Sunday morning.
First Vice-President Mohammad-Reza Rahimi and Minister of Science, Research and Technology Kamran Daneshjou are participating in the one-day event.

Researchers and scholars from various world countries as well as Iranian scientists are also taking part in the international festival.

The festival is held every year to introduce and honor achievements of Iranian and foreign researchers and academicians.

The international bodies including D8, ECO, ECI, COMSTECH, COMSATS, FAO, IFIA, IOR-ARC RCSTT, UNIDO, UNESCO, WIPO, WAIRTO, TWAS and ISESCO are to award winners of Kharazmi festival.

Source : IRNA

Abbas awaits US clarification on talks proposal

2010-02-07T14:00:00.000-08:00

CAIRO: Palestinian President Mahmoud Abbas said Saturday he had asked the United States to clarify its offer to mediate indirect peace talks with Israel before he would announce any decision to resume the negotiations.

“Yesterday I met with an American delegation and we held an Egyptian, Jordanian and Palestinian trilateral meeting,” Abbas said after talks with Egyptian President Hosni Mubarak in Cairo.

“We asked the Americans some questions and they will come back to us ... then we will announce our position,” he said.

An Israeli Cabinet minister, echoing comments made by Prime Minister Benjamin Netanyahu, said this week that Israel and the Palestinians would begin “proximity talks,” with a US mediator shuttling between negotiating teams, to restart negotiations that broke down at the start of a war in Gaza in December 2008.

Netanyahu told a conference Wednesday that he had reason to believe the talks could resume in a matter of weeks, though he gave no details.

Palestinian officials did not confirm those remarks, but pointed out that US Middle East envoy George Mitchell had made more than a dozen visits to the region to try to revive the long-stalled peace talks.

Abbas has said he will only return to negotiations if Israel completely stops settlement-building in the occupied West Bank. He has rejected a limited, 10-month construction freeze ordered by Israel in November as insufficient. Israel has said it will continue to build homes for Jews in and around East Jerusalem, territory it captured in a 1967 war and annexed as part of its capital in a move not recognized internationally.

Palestinians want the city as the capital of a future state.

Also hindering progress in peace talks is a divide in the Palestinian territories, with Abbas’ mandate limited to the West Bank since his Fatah faction was ousted from the Gaza Strip by Hamas in a 2007 civil war.

Abbas said in Cairo there was no connection between resuming talks with Israel and reconciling the internal Palestinian divide. “Everything is moving on and we do not prefer one issue over another,” he said.

Egypt, a US ally which in 1979 became the first Arab state to sign a peace deal with Israel, has acted as a mediator in the Arab-Israeli conflict and has been trying to broker a unity deal between the rival Palestinian factions.

The groups last met in July in Cairo, and Egypt has since increased pressure on Hamas by building an underground barrier along its border with Gaza to block tunnels that bring Palestinians weapons and commercial goods denied them by an Israeli-led blockade.

Source : Agencies

BP Migas: Country`s oil production recorded at 946,048 bpd

2010-02-07T13:53:00.000-08:00

Jakarta - The country`s oil and condensate production since early this year is recorded at 946,048 barrels per day (bpd), which is lower than the state budget target at 965,000 bpd, an oil official said.

"But this month (Feb) the average oil and condensate production is a bit higher at 952,096 bpd," Head of the Upstream Oil and Gas Regulating Agency (BP Migas) R Priyono said here on Friday.

He said that especially on Friday the oil production reached 950,266 bpd, including 142,458 bpd of condensate.

The BP Migas chief said that there were a number of technical reasons which caused production not to reach the target.

"If there is no technical problem the production would reach 977,000 bpd," Priyono said.
The technical reasons included the stoppage of the Kangean production of 2,500 bpd and maintenance work in the Area Central, CNOOC, which delayed production.

The production of the Banyuurip, Cepu, in the meantime, was only 6,800 bpd because the PT Tri Wahan Universal (TWU) refinery plant and PT Pertamina had asked reduction in supply.

Besides, ConocoPhillips also experienced a production reduction by 2,000 bpd due to pipeline network replacement work in the Suban filed.

For gas production, Priyono said that on February 4, 2010, it reached 8,603 million metric standard cubic feet per day (MMSCFD). So, the average production in February is 8,589 MMSCFD and for 2010 it is expected to reach 8,666 MMSCFD.
Source : ANTARA News

Iran, Syria, a model for economic cooperation in region

2010-01-09T14:16:00.000-08:00

Tehran, Jan 9, - Iran's Minister of Housing and Urban Development Ali Nikzad said on Saturday that Iran and Syria must become a model in terms of economic cooperation in the region.
He made the remarks in the 8th follow-up committee on economic cooperation between Iran and Syria.

Close cooperation among countries in the region will lessen the influence of the US and foil the plots hatched by the Zionist regime, he said.

Tehran and Damascus should spare no efforts to bolster economic cooperation among Iran, Syria, Iraq and Turkey which will be vital for formation of a regional alliance, he said.

Volume of trade on engineering and technical services between Iran and Syria has hit dlrs 1.6 billion which is remarkable, he said.

Draft agreements prepared by Iran and Syria’s Expert committees are to be indorsed by the Iranian minister of housing and urbane development with the Syrian economy and commerce minister on Monday.

Source : IRNA

Bahrain's GFH takes $300m Dubai project provision

2010-01-09T14:11:00.000-08:00

By Gavin Davids

Gulf Finance House, the Middle East Islamic investment bank, said on Wednesday it had taken a provision of $300 million over its exposure to a Dubai development project.

The $300 million noncash charge against its propriety Dubailand position comes in the wake of the fallout from the global financial crisis and the recent upheavals in the Dubai markets. The bank said that the move would reduce the liabilities on its balance sheet by $290 million, with no implications for its clients.

GFH added that it had no remaining material exposure to Dubai.
Esam Janahi, chairman, GFH, said: “Market conditions over the last year have been extremely difficult and recent developments have further highlighted the need for a prudent and transparent approach. As a consequence, the board has decided to take the necessary steps to deal with the situation appropriately.”

The bank has recently begun comprehensive market research to establish investor sentiment following the global economic downturn. Like a number of Bahrain based investment houses, GFH has posted losses since the end of the regional property boom last year.

The results of this research has seen the bank design a new business model based on the products and services demanded by the contemporary investment community in a difficult economic environment.

Ted Petty, acting CEO, GFH added: “All our work over the past few months has been focused on shoring up our balance sheet and revising the business model to more efficiently serve the needs of the investment community and we've been very successful in this.”

He added that not only was the bank confident of meeting its liabilities, it also had the ability to engage in attractive investment opportunities as it renewed its revenue generation for 2010.

The Islamic lender raised $500 million in fresh financing this year through a rights issue and two convertible murabhas, an Islamic financing tool, to repair its balance sheet after posting four consecutive quarterly losses.
Source : Arabian Business

Garuda to go public in first quarter

2010-01-09T14:03:00.000-08:00

Banda Aceh - State Enterprises Minister Mustafa Abubakar said here on Saturday PT Garuda Indonesia would go public in the first quarter this year.

"Let us pray it will be warmly welcomed by investors so that the target of shares to be sold will be met," he said at the launching of an environment program held by the state-owned airline company in cooperation with International Leuser Foundation (YLI) in Aceh.

He said PT Garuda would sell 25 percent of its shares to the public to raise Rp2.5 trillion to strengthen its capital.

Mustafa expressed his appreciation to the company that had been able to achieve a four-star ranking or one grade lower for the company to get the world`s highest ranking.

"We hope PT Garuda which is under the supervision of the office of the state enterprise minister will be able to achieve the five-star status so that the public listing program will be smooth," he said at the event which was also attended by Garuda president director Emirsyah Satar and Aceh governor Irwandi Yusuf.

PT Garuda Indonesia is optimistic the initial public offering could be realized in the first semester this year.

"Right now preparations are already being done including selecting the underwriters," he said.Emirsyah meanwhile said the IPO plan was part of the company`s restructuring program to improve its performance.

The proceeds from the IPO are expected to reach US$300 million and will be used to finance additional fleets, refurbishment as well as improving services," he said.

He said the result of the IPO would be dependable upon market conditions. "We will adapt it to the domestic capital market conditions," he said.

Emirsyah said until 2014 the number of the company`s fleets would be increased to 116 units from currently 67 units. The increase in the number of fleets will be followed by a hike in routes to serve and flight frequencies to reach 3,000 flights per week from currently around 1,700 flights.
Source : Antara News

Iran, Vietnam keen to increase bilateral trade exchanges

2009-12-25T14:37:00.000-08:00

Tehran – Commerce Minister Mehdi Ghazanfari Wednesday evening in Hanoi called for facilitation of trade exchanges between Iran and Vietnam.

He made the remarks in a meeting with President of the Vietnam Chamber of Commerce and Industry Vu Tien Loc held on the sidelines of the 6th session of Iran-Vietnam joint economic and trade commission.

The Iranian minister said the two countries' private sectors can play key roles in expansion of bilateral trade cooperation between the two sides.

Voicing his country’s readiness to further promote economic and trade relations with Iran, the Vietnamese official called for making use of Iran as a transit route for export of Vietnamese goods to the regional markets.

Exchange of delegations to study marketing and investment potentials in both countries was also stressed by the two officials.
Source : IRNA

Cultivated coral reefs now also exported

2009-12-25T14:35:00.000-08:00

Denpasar - The coral reefs cultivated by coastal fishermen in Serangan village, Denpasar, have found their way to the export market.

"We have been applying the technique of transplantation in coral reef cultivation and the result is that the products are now exported to Europe," Chairman of the Association of Serangan Fishermen Wayan Patut said here Thursday.

He also said that trading coral reefs is actually against the law, as it harms natural conservation.

However, by applying the transplantation technique in coral reef cultivation, the farmers produced the reefs in such a way that they could be locally marketed and even exported.

"We have been cultivating coral reefs in this way for many years including for natural conservation, in the Serangan waters," one of the farmers said.

"Besides saving nature, the technique also has its economic value, so that the farmers
became enthusiastic in both cultivating and rehabilitating coral reefs," he added.

He said he could tell the difference between observed coral reefs from the saleable cultivated ones, by monitoring the reefs and rehabilitating them.

"We have succeeded in cultivating coral reefs of different colors like brown, green, yellow, and other shades," he added.

He said the coral reefs had already been exported to various countries, like the United States, and are also marketed at local markets. Coral reefs are normally used to decorate sea water and fresh water aquariums.
Source : Antara News

Bin Laden's daughter free to leave says Iran

2009-12-25T14:28:00.000-08:00

TEHRAN: Osama bin Laden's daughter who has taken refuge at the Saudi mission in Tehran is free to leave Iran once her identity is confirmed, Foreign Minister Manouchehr Mottaki was quoted as saying yesterday.

"A while ago the Saudi embassy here said one of bin Laden's daughters is in the compound, so the foreign ministry told the embassy that based on international conventions if her identity is confirmed she can leave Iran with passage documents," ISNA quoted Mottaki as telling state television.

"We were not able to confirm her identity but the embassy says she is" the daughter of bin Laden, he added.

A Saudi newspaper quoted Omar bin Laden, the fourth son of the Al Qaeda chief, that one of his siblings, Iman, 17, had recently sought asylum at the Saudi embassy in Tehran.

Fuad Qassas, the Saudi charge d'affaires at the kingdom's embassy in Tehran, confirmed Iman was staying there, according to the newspaper, which said she has been seeking permission to leave Iran, so far without success.

Omar also said that five other siblings plus one of his father's wives who had been missing since the 2001 invasion of Afghanistan had been traced to Tehran, where they are living under house arrest.

Omar, who lives in Qatar, said he only learnt his family members were still alive after receiving a call last month from his brother Uthman, who had been secretly given access to a mobile phone by a young Iranian.

British newspaper The Times reported 11 of bin Laden's grandchildren were also living in the high-security compound outside Tehran.

The group fled Afghanistan just before the September 11, 2001 attacks on the US and walked to the Iranian border, where they were detained and taken to the walled compound by guards.

His relatives are said to be living as normal a life as possible, cooking meals, watching television and reading, but they are allowed out on shopping trips only rarely.

The Times said Iman escaped from the compound during one such trip last month and fled to the Saudi embassy.

Source : Gulf Daily News

Copenhagen summit causes failure of capitalist systems: President

2009-12-24T14:27:00.000-08:00

Shiraz, Fars Prov, Dec 24, IRNA – President Mahmoud Ahmadinejad said Wednesday evening that the Copenhagen climate change summit resulted in the failure of the world capitalist systems.
He made the remarks in an exclusive interview with the TV network of this southern province.

The summit, an important event in the area of climate, proved the world nations that the big economic powers only think about their own interests and do not make any efforts to reduce environmental pollutions, the President noted.

The world capitalist power is on the verge of collapse, he said, reiterating that the Islamic Republic plays a key role in formation of the new world order.

Today, the presence of Iran in the Latin America has weakened the US position, he noted.

Referring to the Middle East as a sensitive and important region in the world, he said Iran has the upper hand in the entire region.

President Ahmadinejad further underlined the need for administration of justice throughout the globe.

Meanwhile, the President wound up his two-day provincial visit and returned to Tehran last night.

Source : IRNA

Dubai World poised to press for loan extensions

2009-12-24T14:21:00.000-08:00

by Rachna Uppal and Nicolas Parasie

Dubai World is expected on Monday to ask key creditors for more time to pay off its loans, but leave them none the wiser concerning their prospects of being paid back in full.

Saddled with a $22bn debt and in need of restructuring, the Gulf Arab emirate's flagship company is expected to formalise a request for a payment standstill at a meeting with some 90 creditors at Dubai's World Trade Center complex.

Though important, the gathering will probably mark only an intermediate step in a lengthy process, with banking sources anticipating no detailed proposals on the terms of the potential standstill to be discussed.
Raj Madha, banking analyst at EFG Hermes said:"Providing clarity is clearly the number one priority. Obviously a standstill is not ideal. But a standstill with visibility of when payments will be received or the extent of these payments would be sufficient to call it a result."

Dubai sent shockwaves through global markets on November 25 when it requested a standstill on $26bn of debts linked to Dubai World and its two property units Nakheel and Limitless.

A $10bn bond from neighbouring Abu Dhabi last week, the third to Dubai this year, helped it stave off default on a $4.1bn Islamic bond, or sukuk, from Nakheel.

According to the National, two top Dubai officials, on a confidence building mission to Britain and the United States in recent days, told financial leaders in London that repaying all bank loans in full was discussed as a medium term possibility.

Sheikh Ahmed bin Saeed al Maktoum, head of Dubai's Supreme Fiscal Committee and the uncle of Dubai's ruler, and Mohammed al Shaibani, deputy head of the committee, met officials in London last week.

A full repayment however, seems the most unlikely of available options and bankers expect Dubai World to propose the extension of maturities for at least a year or more while paying interest.

A steering committee of Dubai World's largest lenders met the company on December 7. The committee consists of London listed Standard Chartered , HSBC , Lloyds and Royal Bank of Scotland, local lenders Emirates NBD and Abu Dhabi Commercial Bank.

Several bankers said that Lenders will take Dubai World's requests back to their credit committees, which are expected to agree the standstill request early in the New Year.

Speculations continue to mount over which assets Dubai Inc, the network of government owned companies, is willing to sell to help pay off its debt obligations.

Dubai holding's owner said that the luxury hotelier Jumeirah Group is not for sale. The group's chairman said:"Jumeirah and Dubai Holding are part of each other and Jumeirah is not going anywhere." (Reuters)

Over 10,000 artifacts retrieved

2009-12-24T14:16:00.000-08:00

P.K. Abdul Ghafour

JEDDAH: Saudi Arabia has retrieved more than 10,000 of its artifacts from other countries, Prince Sultan bin Salman, chairman of Saudi Commission for Tourism and Antiquities (SCTA), said on Wednesday.

“Retrieving antiquities has now become a national issue,” he said, adding that the government would continue its efforts to bring back Saudi artifacts scattered across the world.

He said an exhibition of the recovered antiquities would be held soon.

Prince Sultan said the SCTA with the cooperation of other government agencies would prevent the theft of antiquities, especially the ones from the Islamic heritage sites in Makkah and Madinah.

He disclosed plans to establish a major Islamic and national museum at Al-Khozam Palace in Jeddah and a Qur’an museum in Madinah.

Efforts are also under way to establish 12 new museums in other parts of the country, he said.

“We have so far licensed more than 70 private museums in the Kingdom and will soon start providing financial support to such museums in association with banks and other public and private agencies,” he told a gathering at the residence of Abdul Maqsood Khoja, a prominent Jeddah businessman.

Prince Sultan said the Kingdom would host the first international conference on architectural heritage on April 18.

“We have received requests from at least eight world exhibition centers to display Saudi antiquities,” he pointed out. He also said that the SCTA was working on setting up a company with the private sector to develop heritage hotels.

“The commission is committed to bringing about a qualitative change in people’s perception of national heritage and antiquities,” the prince added.

“Saudi Arabia is replete with a large number of valuable antiquities and protection of these artifacts is a national duty,” he said, adding that the Kingdom would not tolerate smuggling of antiquities.

He said registration of heritage sites at UNESCO would take years, adding that the registration of Madain Saleh took four years.

“We have presented an application to UNESCO to register the historical area of Jeddah and we hope it would be voted on after two years,” he said. “We are now working on a number of programs to develop Old Jeddah into an architectural heritage site of international importance. We are facing a lot of challenges.”

Efforts are under way to renovate old palaces built during the Saudi era.

“We have completed renovation of 90 percent of these palaces and turned them into cultural centers and museums,” he pointed out.

Source : Arab News

UAE, Bahrain back Kingdom

2009-12-24T14:10:00.000-08:00

MANAMA/RIYADH: Bahrain and the United Arab Emirates on Wednesday pledged their full support to the action taken by Saudi Arabia to secure its southern borders.

The backing from the two Gulf Cooperation Council (GCC) countries came following a meeting between UAE Foreign Minister Sheikh Abdullah bin Zayed Al-Nahyan and his Bahraini counterpart Sheikh Khaled bin Ahmed Al-Khalifa in Manama.

Meanwhile, Custodian of the Two Holy Mosques King Abdullah received a message from Yemeni President Ali Abdullah Saleh on Wednesday, the Saudi Press Agency said.

The agency said Yemeni Foreign Minister Abu Bakr Al-Qirbi handed over the message to King Abdullah during a meeting at the king’s Janadriya ranch. It did not say anything about the content of the message.

The news agency said the meeting was attended by Foreign Minister Prince Saud Al-Faisal, Intelligence Chief Prince Muqrin and Yemeni Ambassador to Riyadh Muhammad Ali Al-Ahwal.

The meeting took place a day after Saudi Arabia gave ultimatum to Yemeni infiltrators to leave the Kingdom’s territory within 24 hours or face death. “They have 24 hours to surrender, or we will destroy them,” said Prince Khaled bin Sultan, assistant minister of defense and aviation, on Tuesday.

Prince Khaled said 73 Saudi soldiers were killed, 470 wounded and 26 went missing since fighting broke out in November between Saudi forces and Yemeni infiltrators.

This is the first time the Kingdom has given a death toll for the fighting between Saudi forces and Yemeni intruders, which began more than a month and a half ago. On Nov. 3, rebels killed a Saudi border guard and occupied two villages inside Saudi territory.

Prince Khaled said Saudi forces would remain in the area until the last intruder is expelled. “What we are doing now is bringing things to normal. We have also made arrangements to prevent infiltration and other crimes,” the minister told reporters.

The annual GCC summit, which was held in Kuwait City last week, had reaffirmed its support to Saudi Arabia against any attempt to undermine its security and sovereignty.

“We are fully behind Saudi Arabia against the cross-border assaults launched by armed infiltrators against the Saudi territories,” the communiqué issued at the end of the summit said. They also extended full backing to the unity, security and stability of Yemen.

Kuwaiti Emir Sheikh Sabah Al-Ahmad Al-Sabah opened the summit on Dec. 14 voicing full support for Saudi Arabia in its fight against the infiltrators.

“We renew our strong condemnation of these aggressions (against Saudi Arabia) and declare full support for whatever actions Saudi Arabia takes to defend its territory,” the emir said.

Source : Arab News

Ahmadinejad to write letter to UN on WW2 compensation

2009-12-18T14:29:00.000-08:00

Copenhagen, Dec 18, – President Mahmoud Ahmadinejad said he would write a letter to the United Nations Secretary General Ban Ki-Moon to ask for compensation for damages inflicted on Iran during the Second World War.

Speaking in a press conference in his hotel in Copenhagen, Ahmadinejad said the 3 victorious countries of the WW2, i.e., US, the Soviet Union, and Britain used Iran’s land and facilities to win the war.
“In that period, Iranian people were under considerable pressures but they were not granted any compensation,” the president said.”
“These countries asked for their own compensation and received it. However, not only no compensation was given to Iran, but also when ten years later, Iranians wanted to nationalize their oil industry, the US prevented it with a military coup.”
“We will demand compensation for damages inflicted on us during the Second World War. I have assigned a group to assess the damage and I will write a letter to UN secretary general so that Iran is granted compensation.”
This is the very meaning of justice, the president underlined.
More details on the president’s press conference would follow soon.
Source : IRNA

President, four legislators attend IPU meeting in Copenhagen

2009-12-18T14:23:00.000-08:00

Jakarta - President Susilo Bambang Yudhoyono along with two members of the Regional Representatives Council (DPD) and the House of Representatives (DPR) each attended an Inter Parliamentary Union (IPU) meeting in Copenhagen on Wednesday (Dec 16).

The IPU meeting took place on the sidelines of the ongoing United Nations Framework Convention on Climate Change (UNFCCC) meeting, the DPR said in a press statement issued on Friday.

Two DPR or House members attending the IPU meeting were Muhammad Najib and KMRT Roy Suryo Notodiprojo, while the two members of the (DPD were the DPD Committee II Chairman, Susilo Bambang, and DPD Chairman of the Inter-Agency Relations (PHAL) Hamdhani.

The IPU meeting also discussed important issues being dealt with at the UN Conference on Climate Change.

According to Hamdhani, the DPD considered that cooperation between world parliamentarians and the UN organs such as the UNFCCC need to be enhanced in order to increase the IPU`s role in contribution to and support for the UN.

"The purpose of the meeting was to substantiate cooperation between the IPU and the UN," he said.

The IPU is an international organization which was established in 1889 and the first multilateral forum in the world. The IPU with its headquarters in Geneva is composed of 143 national parliaments and seven regional parliamentary associations.
Source : Antara News

Flood toll goes up to 121

2009-12-18T14:17:00.000-08:00

By Muhammad Humaidan

JEDDAH: The official death toll from the Nov. 25 flash flooding in Jeddah rose to 121 on Thursday after Civil Defense officers pulled a body from an undisclosed location. Brig. Muhammad Al-Qarni, director of the Civil Defense’s crisis management center, said the 39 people are still reported missing.

Civil Defense officers also completed a search and recovery operation at Musk Lake, Jeddah’s sewage dumping grounds, on Thursday and found no bodies or vehicles. Al-Qarni said the department has so far registered 11,935 houses and 10,999 cars among properties damaged by the floods. As many as 7,754 families with 26,593 members have been provided accommodation in hotels and furnished apartments.

Meanwhile, citizens have complained that the municipality has not yet removed standing water in the city’s neighborhoods, as they fear such ponds would develop as breeding grounds of disease-carrying mosquitoes.

Meanwhile, the International Islamic Relief Organization Saudi Arabia (IIROSA) announced Thursday that it has allocated SR10 million to construct houses of people affected by the Nov. 25 flash floods in Jeddah.

Adnan Khalil Basha, secretary-general of the IIROSA, said his organization would also support the poor families afflicted by the floods in order to make them productive.

“We’ll sponsor Saudi orphans and others,” he added.

Meanwhile, the World Assembly of Muslim Youth (WAMY) said it had distributed food baskets among 3,414 families in the flood-affected areas of Quwaiza, Jamiah, Kilo 11, Kilo 14, Ghulail, Karantina, Madain Fahd, Wadi Ashir and Wadi Mirrikh.

“We have so far carried out 11 food distribution campaigns,” said Muhammad Badahdah, general supervisor of the organization in Makkah province. He said the baskets contained rice, cooking oil, milk, sugar and tea.

WAMY also distributed 8,621 items of basic requirements such as furniture, beds, pillows, blankets and bedsheets.

“Our relief programs comes as part of our efforts to do something good in return for the big support WAMY received from people of Jeddah during the past four decades,” he said.

He said WAMY was one of the first organizations that called for coordination for relief work among the Jeddah flood victims.

Badahdah, who is assistant secretary-general of WAMY, has emphasized the need to develop the volunteering capabilities of youths by providing training.

He said young men and women had done “a wonderful job” in providing relief to Jeddah flood victims.

“The enthusiasm displayed by our youth volunteers was marvelous,” he said, adding that they knew they had big role to play.

“We have responded quickly to Jeddah floods and stopped all our external activities in order to mobilize all our resources and manpower for relief work in Jeddah,” Badahdah said, adding that WAMY’s women volunteers were also involved in relief activities.

Source : Arab News

Russia supplies non-military helicopters to Iran

2009-12-08T16:19:00.000-08:00

Moscow, Dec 9, IRNA – Russian non-military helicopter manufacturere 'Verthalutirussia' signed an agreement with Iranian company 'Fanavaran Aseman Giti' on Tuesday to supply helicopters to Iran.

According to the agreement, the Iranian company will represent Russian firm in Iran and will have responsibility for marketing and advertisement.
The Russian company intends to supply non-military and multi-purpose helicopters like " Mi-171", " K 226 T" and " K 62" to Iran.
The Russian private company said that Iran is a good market in the Middle East for helicopter technology.
Executive director of the company Andrea Eishinov expressed pleasure that Russian made helicopters are increasing in Iran.
He added that repair centers for Mi and K models are located in Iran's neighboring countries which is an advantage for Russian-made choppers in Iran.
Source : IRNA

Asry in $80 million key quay wall deal

2009-12-08T16:08:00.000-08:00

MANAMA: As a major part of its expansion plan, Asry has awarded a design and build contract for the construction of a 1,380-metre quay wall to Bahrain-based Nass Contracting. The $80 million contract comprises the construction of a 1,200m quay wall, with a water depth of up to 12m, designed to receive 300,000 DWT vessels as well as a 180m berth for 40,000 DWT vessels.

The quay wall, which will have the first 400m delivered by end of next year, will be fully operational by the end of 2011. It will be equipped with all services, utilities and crainage required for providing efficient alongside repairs. The project, reviewed by consulting engineers, Haskoning UK, also includes the construction of all support facilities and infrastructure necessary to ensure a high level of reliability to Asry's valued customers. The support facilities and infrastructure are currently in the design phase and are planned for tendering in the second quarter of next year.

Source : Gulf Daily News

Lama Suleiman first deputy chairman of JCCI

2009-12-08T15:50:00.000-08:00

By Galal Fakkar

JEDDAH: Lama Suleiman was elected on Monday first deputy chairman of the board of directors of the Jeddah Chamber of Commerce and Industry (JCCI). She is the first Saudi woman to hold this position and she will be second to Saleh Kamel, the Saudi businessman, who was elected chairman of the board for a new term of four years.

The election also makes Lama deputy chairman of the Riyadh-based Saudi Council of Chambers (SCC). The second deputy chairman is Mazen Batarji and the former holder of the position, Abdullah Mari’ bin Mahfouz, was elected JCCI representative to the SCC.

Lama, who holds a doctorate in hygiene and nutrition from the University of London, belongs to a well-known Jeddah family. She has held a number of senior positions including the post of director at Rolaco Company for Trading and Contracting. She owns a women’s sports club in Jeddah.

In addition, she is a member of the board of trustees of the Khadijah bint Khuwailid Center, an affiliate of the JCCI, chairperson of the council for the sponsorship of research and development of women, a member of the economic and social department of the Makkah Governorate, a member of the international economic forum for young Arab leaders and a researcher at King Fahd Hospital for the Armed Forces in Jeddah. “This is a new victory for the Saudi woman who is making progress every day,” she said.

Lama said she would attempt, through her new position, to prove that Saudi women could stand on an equal footing with men. “The first thing I will do is to inspect and follow up the relief programs for the Jeddah flood victims,” she said.

Saleh Kamel said the first priority of the JCCI under his chairmanship would be to “normalize the situation” in the areas affected by the rains and floods in Jeddah. “The private sector was equally to blame in the natural disaster. The roads, bridges and tunnels which were damaged by the water were executed by contractors and businessmen from the private sectors,” he said.

He also said the new JCCI board would set priorities for services and for providing a work environment which would provide more facilities and incentives to businessmen. He criticized the system of election to the JCCI board and said out of 40,000 members, only 6,000 had voted. “This means that 80 percent of members did not vote. This is a defect which we will rectify,” he added.

Source : Arab News

Syria interested in Iran’s experiences in water supply

2009-12-07T13:46:00.000-08:00

Damascus, Dec 7, IRNA – Syrian Minister of Construction and Housing Umar Ibrahim Ghalwanji called Sunday for exchange of experiences with Iran in the areas of sewage and water systems.

He made the remarks in a meeting with visiting Iran’s Minister of Energy Majid Namjou.

Ghalwanji also called for materialization of a protocol on bilateral cooperation already signed by the two sides.

He welcomed investment of Iranian companies in various projects, including housing construction and water purification as well as sewage and water systems in his country.

For his part, the Iranian minister called for further expansion of bilateral cooperation and underscored the need for removing the existing obstacles on the way of mutual ties.

Namjou also voiced Iran’s readiness to exchange experiences with Syria in various fields.

Later in the day, the two countries signed an agreement on construction of Jandar power plant in the Syrian province of Homs.

The signing ceremony was held in presence of Namjou and Syrian Minister of Electricity Ahmad Qusay Kayali.
Source : IRNA

Kuwait fund sells stake in Citigroup

2009-12-07T13:43:00.000-08:00

KUWAIT: Kuwait's sovereign wealth fund yesterday said it had sold its stake in US bank Citigroup, becoming the latest Gulf investor to sell foreign shares as markets improve.

Kuwait Investment Authority (KIA) transferred its preferred stocks to normal stocks and sold them for $4.1 billion. It made a profit of $1.1bn or a 37 per cent return on its initial investment.

KIA had invested $3bn in Citigroup in preferred stocks in January 2008.

It did not disclose the number of shares it had sold or what it planned to do with proceeds.

The fund, which manages state assets, has come under fire from some parliamentarians for investing $5bn in Citigroup and Merrill Lynch. Merrill Lynch has since been bought by Bank of America.

"Every sovereign wealth fund has its own agenda and plan for investments ... but one reason (for KIA's Citigroup stake sale) might be that the situation is better than before in the US and ... maybe investors can pull back their money," said Naser Al Nafisi, general manager for Al Joman Centre for Economic Consultancy in Kuwait.

In November, Qatar sold half its Volkswagen preference shares, cashing in on recent gains and raising around 1.5bn euros ($2.26bn) for possible deals.

The value of foreign assets managed by the KIA fell by about 9bn dinars ($31.58bn) in the nine months to December 2008, due to the financial crisis, two lawmakers said in February after a government briefing.

Since October 2008, KIA has reduced the exposure of its key Future Generation fund to global equities markets.

Source : Gulf Daily News

Kuwait's Investment Dar reaches deal with creditors

2009-12-07T13:36:00.000-08:00

by Eman Goma

Kuwait's Investment Dar (TID) said on Monday it reached an agreement with its creditors and investors on a debt restructuring plan.

In November, the Islamic investment firm presented its creditors and investors with a proposal to restructure about 1 billion dinars ($3.51bn) of its debt.

The deal between Dar and its coordinating committee - which represents all creditors and investors - endorsed the proposed five-year restructuring plan, it said in a statement.

"The proposed plan is based on a restructuring of the existing financial arrangements with scheduled amortizations over a five year period," it said. Dar, which owns half of British luxury carmaker Aston Martin, defaulted on a $100 million Islamic debt issue last May - the first of its kind on a major, public Islamic instrument in the region - and has said it may sell some assets to meet its obligations.

"TID will satisfy its financial arrangements in full over the five year period. In addition, the proposed plan would provide TID's banks and investors with an enforceable security package," Dar said. In September, Kuwait's central bank appointed a temporary supervisor to monitor debt restructuring and the compilation of financial results at Dar.

Trading in Dar shares has been suspended since April 1, after the group failed to submit its 2008 financial records on time. Dar had said it was seeking to borrow up to $1 billion to refinance its debt. (Reuters)

Int’l house appliances exhibit opens

2009-12-06T14:08:00.000-08:00

Tehran, Dec 5, IRNA -- Ninth International Exhibition of House Appliances opened in Tehran on Saturday with the participation of more than 308 Iranian and foreign companies.

Some 66 companies from Germany, Italy, England, UAE, the US, Belgium, Turkey, Japan, Singapore, Switzerland, South Korea, China, France and Hong Kong are presenting their new products at the event.

The number of countries taking part in the exhibit rose by 18 percent compared to the previous one.

Some 390 items of house appliances including various types of refrigerators, ovens, washing machines, chinaware and samovars are currently on display.

Secretary General of Association of the House Appliances Suppliers Ansari put the rate of export in the first six months of the current Iranian year (started March 21) at over $117 million, adding that it shows a 70-percent increase compared to the figure for the corresponding period last year.

According to him, more than 74 percent of house appliances needed in Iran are produced inside the country.

Iran currently exports chinaware, sewing machines, water heaters to the European, Asian and African countries, Ansari said.
Source : IRNA

Oil prices stable and perfect says Saudi

2009-12-06T14:04:00.000-08:00

CAIRO: Top oil exporter Saudi Arabia yesterday described the current oil price as stable and "perfect" for consuming and producing nations as he led talks in Cairo with other Arab oil ministers.

With oil around $75 a barrel, ministers said there was no need for the Opec to change its output targets when it met in Angola later this month.

"Everything is very good now," Saudi Arabia's Oil Minister Ali Al Naimi said at a meeting of the Organisation of Arab Petroleum Exporting Countries (OAPEC).

"Inventories are coming down, the price is perfect and investors, consumers, producers are all very happy," he added. "There is nothing to worry about." Kuwaiti Oil Minister Shaikh Ahmad Abdullah Al Sabah echoed him. "There will be no increase in production whatsoever," he said, adding he believes there is a consensus among all Opec members to maintain status quo.

Opec cut 4.2 million barrels per day of its production quotas in December, bringing down the total output of the 12-member group - excluding Iraq - to 24.84m bpd.

It took the measure to support flagging oil prices, which slumped from historical highs above $147 a barrel in July last year to just above $30 after a sharp decline in demand due to the global financial crisis.

Oil prices have rebounded strongly over the past months and are currently ranging between $70 and $80 a barrel. In October, prices jumped above $80 a barrel before easing.

Libyan Oil Minister Shukri Ghanem said there are no objections among Opec members to a production rollover in Angola.

"I don't think there are objections," to maintaining output quotas, he said.

Qatar's Energy Minister Abdullah Al Attiyah also said Opec will roll over current production levels but will monitor the market next year.

"I believe the decision will be to maintain the current production levels and then wait until 2010," to assess the situation.

A conference of the 12 Opec members on December 22 in Luanda will wrestle with the task of balancing oversupply against the risk any rise in oil demand could drive up prices and derail the world economy.

Source : Gulf Daily News

Flood probe report soon

2009-12-06T13:53:00.000-08:00

By Muhammad Humaidan

JEDDAH : The first meeting of the committee investigating the circumstances that led to the deadly flashfloods in Jeddah on Nov. 25 was held under the chairmanship of Makkah Gov. Prince Khaled Al-Faisal at his office in Jeddah on Saturday.

“The compensation and sheltering offered to the victims under the orders of Custodian of the Two Holy Mosques King Abdullah helped a lot to allay the sufferings of the victims,” Prince Khaled said after the meeting.

The committee, which set up a number of subcommittees, decided to take steps to complete its task and submit a final report to the king soon, the prince added. He said a second meeting of the committee will be held today.

Meanwhile, Mansour Al-Mazrouei, head of the Department of Meteorology and an expert on climate change at King Abdulaziz University, warned that unexpected climatic changes could be experienced in the Kingdom in future.

“The urban planners in Jeddah should consider unexpected turns in the weather when they make plans,” Al-Mazrouei told Arab News. He said the 90mm rainfall in six hours on Nov. 25 in Jeddah was a record. “The volume of rain that fell in a very short time triggered flashfloods that ravaged the southern and eastern districts of Jeddah.” He said Jeddah received considerable rainfall in 1996, but it was spread over a period of six days, not exceeding 40mm on any one day.

Al-Mazrouei added that only five times in the recorded history of Jeddah had rains exceeded 60mm a day, but they did not cause heavy damage.

They were all recorded in November when most rains fall in the western region in the Kingdom. “The huge volume of rain that fell in Jeddah after a long spell of rainless years could be indicative of the phenomenon of climate change coming to the Kingdom,” he said.
Source: Arab News

Brazil foreign minister in Iran to follow up economic agreements

2009-12-04T13:55:00.000-08:00

Isfahan, Dec 3, IRNA -- Foreign Minister Manouchehr Mottaki said on Thursday that Iran and Brazil enjoy bright prospects for developing economic cooperation.
In a meeting with his Brazilian counterpart, Celso Amorim, on the sidelines of the third tour of the cabinet to Isfahan, he described President Mahmoud Ahmadinejad’s visit to the Latin American country as the first by Iranian chief executive in the past 40 years.

He said that exploring capacities and resources of the two countries was one of the main achievements of the trip.

Mottaki said that Iran-Brazil Joint Economic Commission is expected to work more actively and that regular consultations would be useful for implementing the agreements signed by the two countries.

“There is no limitation for developing bilateral ties and the prospects are achievable,” Mottaki said.

Amorim said for his part that Iranian president’s visit was successful and called for developing ties in all fields.

Stating that significant agreements have been signed between the two countries during President Ahmadinejad’s visit to Brazil, he said, “I toured Iran in line with political will of the two states’ leaders to pursue the implementation of the deals.”

He called for organizing commercial and cultural exhibitions to identify the economic, commercial, industrial, cultural, artistic and scientific capacities of both countries.
Source : IRNA

Qatar Islamic Bank has $15m exposure to Dubai World

2009-12-04T13:43:00.000-08:00

By Neeraj Gangal

Qatar Islamic Bank said on Thursday it had exposure to a Dubai World Islamic bond maturing in 2017 worth QR54m ($14.84m).

The lender is the first Qatari bank to announce its exposure to the Dubai state-owned conglomerate, which is restructuring debts worth $26bn.

"The financial impact currently will affect the negative investment fair value reserve," it said. "QIB will keep observing the situation and its financial consequences which will be disclosed accordingly." ($1=3.638 Qatari Riyals)

Source : Reuters

Bahrain's economy 'has survived global crisis'

2009-12-04T13:37:00.000-08:00

MANAMA: Bahrain has succeeded in withstanding repercussions from the global economic meltdown.

"The financial situation remains stable and assuring thanks to our balanced economic policies," His Royal Highness Crown Prince Salman bin Hamad Al Khalifa said yesterday.

He was speaking as he chaired a meeting of the Economic Development Board's (EDB) executive committee. He also highlighted the importance of precautionary measures to protect Bahrain's solid financial standing.

"Contrary to most countries, the impact of the meltdown was less detrimental to this region," he said.

He expressed his confidence in the capacity of UAE officials to deal with the current crisis competently. He also highlighted the remarkable developments achieved by the UAE and other GCC countries.

Finance Minister Shaikh Ahmed bin Mohammed Al Khalifa, Central Bank of Bahrain Governor Rasheed Al Maraj and EDB chief executive Shaikh Mohammed bin Essa Al Khalifa highlighted the impact of the crisis on the region.

They discussed precautionary measures to deal with potential repercussions. Initiatives to maintain oil and gas supplies and meet Bahrain's needs also came under the spotlight.

Oil Minister and National Oil and Gas Authority chairman Dr Abdulhussain Mirza gave an update on the industry and electricity sector. Upgrading the output of Bahrain Oil Field and intensifying explorations are part of initiatives ensuring Bahrain's energy security, he said.

Source : Gulf Daily News

Iran, Turkey to boost tourism cooperation

2009-12-02T14:36:00.000-08:00

Ankara, Turkey, Dec 2, IRNA - Head of the Cultural Heritage, Handicrafts and Tourism Organization Hamid Baqaei said here on Wednesday that Iran’s free zones boast of higher potentials and capabilities which can be exploited by establishing airlinks.
In a meeting with Turkish Culture Minister Ertugral Gunay, he added that tourism, in fact, is a kind of economic transaction. Iran and Turkey should reach equilibrium in this respect.

Stating that more than one million Iranians visit Turkey each year, he noted the number of Turkish visitors to Iran is one third of that figure.

Now that the two countries are set to develop bilateral cultural ties, a balance in the number of the two countries’ tourists is of paramount significance, he underlined.

Given the fact that there is no problem in issuing visas for the two states, the balance will hopefully be achieved, Baqaei noted.

Iran has set up 1,000 exemplary tourist sites, he said, declaring the country’s readiness to absorb foreign investors and setting up a joint bank with Turkey.

The official further noted that Iran and Turkey enjoy proximity since the ancient times and hoped that cultural steps such as holding exhibitions will promote affinity between them.

Gunay, for his part, said that some seven million people travel to Turkey each year, one million of which are Iranians.

Referring to the similarities between the tourism sites of the two countries, he said that serious steps should be taken in line with enhancing interactions.

Paving the grounds for establishing airlinks from Iran’s tourist sites to Turkey will help boost two-way tourism ties, he said.
Source : IRNA

Islamic finance growth seen 10-20% in 3 yrs - study

2009-12-02T14:31:00.000-08:00

By Cecilia Valente

Most executives involved in Islamic finance expect the industry to grow by between 10 and 20 percent over the next three years, a survey published by accountancy firm BDO showed on Thursday.

The study, based on responses from 173 financial services executives active in the sector, found that 53 percent expected 10 and 20 percent growth while another 22 percent felt the industry could grow by 20-30 percent or more.

Some 23 percent felt it would experience growth of 0-10 percent, or no growth at all.
The Islamic finance industry is estimated to be worth about $1 trillion and is dominated by the issuance of Islamic bonds, or sukuk. Growth, however, has been held back by a shortage of expertise and poor harmonisation of the criteria applied to products, the survey respondents said.

Islamic products must be endorsed by scholars able to interpret sharia law and understand the technicalities of financial products.

The industry has struggled to agree on a set of common principles as it is governed by a patchwork of national regulators, standard-setting industry bodies and individual scholars ruling on products and contracts.

Due to different interpretations of the sharia or Islamic law in different regions, a financial product accepted by one set of scholars could be rejected by others. These discrepancies make cross-border distribution difficult.

AAOIFI, a Bahrain-based body responsible for accounting, auditing and governance standards in Islamic finance, is setting up a committee which will try to establish common guidelines in the industry.

"We feel that these differences are damaging our credibility severely within the Muslim (world) and outside," said Mohamad Nedal Alchaar, AAOIFI secretary general, who attended the presentation of the survey results.

The committee will include representatives of scholars, lawyers, auditors, regulators and bankers who from next year will sieve through financial products and gauge their compliance with Islamic principles.

AAOIFI's standards are adopted in some Middle Eastern markets, including the Dubai International Financial Centre.

The committee will seek to convince providers to alter products it deems inappropriate but will be prepared to go public with its concerns if no progress is made.

The BDO survey respondents picked out Islamic retail loans as the product with most revenue potential, while Islamic insurance, or takaful, was the next most popular. Sukuk were only fourth on the list, behind Islamic mortgages.

Source : Reuters

Saudi-EU ties enter new phase

2009-12-02T14:27:00.000-08:00

Ghazanfar Ali Khan

RIYADH: Relations between Saudi Arabia and the European Union entered a new phase with the Riyadh-based European Commission Delegation changing its name to the “Delegation of the European Union to Saudi Arabia.”

EU officials also announced that Abdulrahman H. Al-Atiyah, secretary-general of the six-nation Gulf Cooperation Council (GCC), would pay an official visit on Dec. 22 to Sweden, which currently holds the EU’s rotating presidency.

Ambassador Luigi Narbone, chief of the Delegation of the European Union to Saudi Arabia, said on Tuesday that the new name of the local EU office reflected the changes that would enhance external representation provided by the Lisbon Treaty. Narbone pointed out that the Delegation of the European Commission was established in Saudi Arabia in 2004 and is also accredited to Bahrain, Kuwait, Oman, Qatar and the UAE.

He pointed out that the Riyadh-based delegation would work to enhance the visibility of the EU in the Gulf region and promote closer ties with the GCC states.

The EU delegation office will also encourage people-to-people interaction and highlight Europe’s cultural and linguistic diversity, promote European higher education and facilitate cooperation in science and technology.

Narbone said, “The change will ensure better cooperation between the EU and Saudi Arabia on the one hand as well as between the EU and the other Gulf states. More changes in terms of services will be visible after the transition phase of the EU comes to an end early next year.

The European Commission has over 130 delegations and representatives around the world. The names of all these changed as of Dec. 1. The EU today accounts for one-third of the world’s total economic production and has also started to play a greater political role in global affairs.

With the treaty coming into force on Tuesday, EU cooperation becomes more efficient, more active, and its action becomes more coherent especially on regional and international issues affecting the two major blocs — the GCC and the EU.

The EU and the GCC have forged close cooperation on all fronts. In 1989 an EU-GCC accord was signed according to which EU and GCC foreign ministers meet once a year.

Source : Arab News

World Bank unit to list sukuk in Dubai, Bahrain

2009-12-01T15:21:00.000-08:00

By AFP

The International Finance Corp, a wing of the World Bank, said on Wednesday it would list its first Islamic bond in the Middle East.

The IFC Hilal Sukuk, a dollar-denominated $100 million issue with a five-year maturity, will be listed with the Nasdaq Dubai and Bahrain stock exchanges, the Washington-based corporation said.

Sukuk is similar to a bond in Western finance but complies with Islamic Shariah law, which forbids charging interest.
"The Sukuk is an innovative way for IFC to create opportunities for Islamic investors who want to make a positive social impact," said IFC chief executive Lars Thunell.

"It also supports the World Bank Groups goals to integrate the Arab world into the global economy and offer greater opportunities for its people," Thunell said.

The IFC is the first non-Islamic financial institution to issue a Sukuk for term funding in the six-nation Gulf Cooperation Council, which comprises Kuwait, Saudi Arabia, UAE, Qatar, Oman and Bahrain.

It is also the first Sukuk to be listed and cleared in the Gulf Cooperation Council market only, a statement from the corporation said.

The IFC Sukuk, which has been rated Aaa by global credit rating agency Moodys, could be listed on both the exchanges next week, a financial source told AFP.

The bond issue will help develop the regions nascent Sukuk market and encourage other sovereign and corporate issuers to engage with member countries of the Gulf Cooperation Council, the IFC said.

The IFC Sukuk is aimed at supporting a pipeline of Islamic finance projects in key sectors such as health, education and infrastructure.

A separate body will issue the IFC Sukuk and "warehouse" the underlying assets, the IFC said, adding that the syndicate includes HSBC Amanah, Dubai Islamic Bank, Kuwait Finance House Bahrain, and Liquidity Management House.

"We are grateful to the Shariah scholars, our partners at the Dubai and Bahrain exchanges, and the syndicate for guiding us through this complex process, and hope that the model will facilitate the process for other issuers to enter the Sukuk market," IFC Treasurer Nina Shapiro said.

The Sukuk global asset class has a market value of over 200 billion dollars.

IFC issued its first Islamic bond in 2004. That bond, denominated in the Malaysian Ringgit currency, was a 132 million dollars equivalent three-year "bullet" bond.

The IFC formed an Islamic finance working group last year to develop a more strategic approach to Islamic finance activities.

The working group and expansion of IFC field offices in the Middle East and North Africa region have contributed to a committed portfolio of over $190 million in loans and equity in the region, the IFC said.

The global Islamic finance industry has grown rapidly to an almost one trillion dollar industry, reports have said.

But it makes up less than one per cent of world capital, giving it a huge scope for growth.

Source : Arabian Business

Gambia, Iran’s good trade partner: Minister

2009-12-01T15:17:00.000-08:00

Tehran, Dec 1, IRNA – The minister of cooperatives said Tuesday that the African country of Gambia is a good trade partner for Iran.

Mohammad Abbasi, head of the Iran-Gambia Joint Commission, made the remarks while talking to IRNA.

He said Gambia is a state playing an effective role in both international and African arenas.

Abbasi added the existing economic potentials in Banjul have led Tehran to plan joint ventures with the African state.

The cooperatives minister also said the two countries are capable of expanding bilateral cooperation in the fields of agriculture and fisheries.

Pilgrimage reunites Indonesian soul mates after long separation

2009-12-01T15:13:00.000-08:00

Anwar Al-Sayed

MINA: Two long-lost friends who separated 10 years ago in Indonesia enjoyed a tearful reunion during this year’s Haj. They finally met at the gate of a camp in Mina after learning they would both be performing the pilgrimage the same year.

“We were close friends since childhood and school days. We were like two souls in the same body or like a shadow following the other everywhere,” said Rita, one of the friends who had moved to the United States.

“So many times we stopped at the doorstep sharing sad and happy times. We ate the same food, wore the same clothes, played together and shopped together. We had no idea that we were going to separate one day.

“I wish time would stop at this moment and we would never separate but this is life and each one of us will go our own way as soon as Haj is over.”

Crying tears of joy, the other friend Aly interrupted, thanking the Haj season for bringing them together. She had remained in Indonesian capital Jakarta when they separated.

“Since I came to know she would also be doing Haj this year, I was counting the days and the hours to see her. I consider our performance of the pilgrimage in the same year further proof that we are soul mates. Despite the long distance separating us, we thought about the same thing at the same time.”

Aly said the Qur’an mentions Haj as an occasion to gaining rewards in the hereafter and at the same time looking after one’s other interests. “Within these other interests comes my meeting with my friend.”

Aly added Rita had become even more beautiful but had put on a little weight, perhaps due to the fact she was living in the US.

“However, I am sure that her heart is still clean and big. She is still a sentimental woman who loves all people. I know we will be together for only a few days before Haj is over but I was so happy that Haj gave us this time together.”

The friends said they would go to the Grand Mosque together for prayer and never leave each other until it was time to go home.

Source : Arab News

Mottaki: Iran-Russia cooperation helps restore regional tranquility

2009-11-30T13:37:00.000-08:00

Tehran, Nov 30, IRNA -- Foreign Minister Manouchehr Mottaki said on Monday that constructive cooperation between Iran and Russia helps restore peace and tranquility to the entire region.
Mottaki made the remarks in the 8th meeting of Iran-Russian Joint Economic Commission in Tehran.

He said that ties between Iran and Russia have developed in various fields after the triumph of the Islamic Revolution.

"Iran and Russia with huge natural and energy resources would play leading role in the globe and boost cooperation."

Mottaki called for enhanced level of trade in light of high potentials in various fields the two countries possess.

Mottaki gave a proposal to adopt monitoring system for foreign trade or barter trade to save national economies of both Iran and Russia from the current global financial crisis.

The Russian Energy Minister Sergei Shmatko, for his part, thanked the Iranian foreign minister for hosting the 8th Iran-Russia Joint Economic Commission and said the two countries reviewed all regional developments and ways to expand economic and commercial ties.

Iran and Russia should try to increase current level of cooperation in energy, electricity, oil and gas to a satisfactory level, he said.

The two sides have decided to enhance level of mutual cooperation in gas and oil sectors, he pointed out.

The two sides inked four documents in 17 chapters and 120 articles at the joint economic commission.

Source : IRNA

WTO urged to speed up key trade negotiations

2009-11-30T13:35:00.000-08:00

GENEVA: European businesses, growing frustrated at slow progress in the World Trade Organisation's Doha round, yesterday called for the WTO to speed up negotiations.

The WTO is holding a ministerial conference from tomorrow until Wednesday, but negotiations on Doha, launched eight years ago to open markets and help developing countries grow through trade, are off the agenda.

Instead ministers will review the WTO's work and its contribution to economic recovery and tackling problems such as climate change. Doha is likely to be discussed on the sidelines.

Economists argue about precise benefits of a Doha deal but political leaders and the WTO believe it would boost business confidence by removing uncertainty from the world economy.

"At some point of time all WTO members will have to make up their minds on the conclusion of the round," said Carsten Dannoehl, senior adviser for international relations at BusinessEurope, the EU business lobby.

BusinessEurope is expected to issue a call during the conference for the WTO's 153 members to focus on concluding a Doha deal, which would cut industrial and agricultural tariffs, slash farm subsidies and open up trade in services.

WTO Director-General Pascal Lamy says a Doha agreement is 80 per cent complete. But mindful of previous WTO conferences that broke up in acrimony, he wants to avoid submitting an incomplete proposal to ministers.

Political leaders have called on WTO members to reach a Doha agreement in 2010, but Lamy has said negotiations will have to speed up to meet that new deadline.

Members will take stock and decide whether 2010 is realistic early next year.

Poverty action group Oxfam said completing the Doha round would not solve all development challenges but would at least remove some of the worst trade distortions.

"The very fact that the Doha round is not even on the agenda of this week's Ministerial shows that the round is moribund," said Oxfam International representative Celine Charveriat.

Meanwhile, more than 3,000 demonstrators protested in Geneva on Saturday at WTO policies that they say promote poverty, but the march was called off after some 200 protesters rampaged through the city centre smashing windows and setting fire to cars.

Source : Gulf Daily News

Double digit growth for Islamic banking assets in 2009

2009-11-30T13:24:00.001-08:00

by Soren Billing

Islamic banking assets posted double-digit growth this year despite the global economic slowdown, according to a new report.

Assets held by fully Shariah-compliant banks or Islamic banking windows of conventional banks rose by 28.6 percent to $822bn from $639bn in 2008, according to The Banker’s “Top 500 Islamic Financial Institutions” survey.

The London-based magazine found in a July survey that the world’s conventional banks posted annual asset growth of just 6.8 percent.
“A conservative approach to risk and a close link between the financial sector and real assets has helped shield the sector from the worst of the credit crisis,” said editor Brian Caplen.

“But finding improved ways to manage liquidity at Islamic banks, as well as harmonising Shariah and prudential compliance between institutions and markets, remain significant hurdles.”

GCC states accounted for $353.2bn or 42.9 percent of the global aggregate, while Iran remained the largest single market for Shariah-compliant assets, accounting for 35.6 percent of the total.

Source : Arabian Business

Double digit growth for Islamic banking assets in 2009

2009-11-30T13:24:00.000-08:00

Moscow, Nov 29, IRNA – Russian Energy Minister Sergei Shmatko headed for Tehran Sunday to disRussia energy minister off to Tehran for bilateral talks

2009-11-29T15:09:00.000-08:00

Moscow, Nov 29, IRNA – Russian Energy Minister Sergei Shmatko headed for Tehran Sunday to discuss bilateral gas, oil and energy cooperation with Iranian officials.

Shmatko, heading a delegation, is to attend Tehran-Moscow Joint Economic Commission session.

During his two-day stay in Iran, the Russian energy minister is planned to meet with Iran’s Foreign Minister Manouchehr Mottaki, Oil Minister Masoud Mir-Kazemi and his counterpart Majid Namjou.

Meanwhile, Shmatko told IRNA on Friday that Moscow enjoyed unique relations with Tehran.

Shmatko reiterated that Tehran-Moscow energy cooperation would benefit both countries.

The two countries' bilateral cooperation on Bushehr nuclear power plant has paved the way for further expansion of all-out ties between the two sides, he added.

The Russian minister announced that the Bushehr plant would become operational according to the schedule, adding that there is no obstacle on the way of putting into operationof the power plant.
Source : IRNA

Islamic banks should target female market - report

2009-11-29T15:01:00.000-08:00

by Gavin Davids

Islamic banks in the Middle East are "extremely well positioned" to take capture a share of women's rapidly growing demand for top-notch banking services, says a new publication from the Boston Consulting Group (BCG).

With an estimated $5 trillion in incremental earnings to spend, educated, ambitious, working women represent a commercial opportunity for goods and services providers that eclipses the rise of the consumer economies of both China and India, the management consulting firm said.

It said Islamic banks were in pole position to play a role in the women's banking arena, because they offer unique elements in the sector including a pre-disposed distribution network with some Islamic banks already off women's sections/branches due to Islamic traditions surrounding privacy.
It also said halal products were important for women, especially as they think about setting money aside for their children. It is important for money that is passed down to the next generation to be 'clean'.

BCG said the growing demand by women for financial services should prompt Islamic banks to systematically target this emerging market, work to understand women's dissatisfaction and change their offerings to profit from, and help boost this most important commercial opportunity.

The Middle East in particular was a rapidly growing market for banks to explore as more Arab women are entering the workforce and making important financial decisions, it added.

Companies should view Arab women as a fast-growing consumer segment and be prepared to adapt their offerings accordingly.

BCG estimated that women in UAE control approximately AED250 billion in household assets, with 70 percent of them owned by Emirati women or Arab women expats. Some of this is family owned wealth, but with female earning power growing stronger, women will continue to earn more money from their jobs. Currently, women in the UAE have an annual income of AED2 billion.

Michael J Silverstein and Kate Sayre, authors of BCG's Women Want More: How to Capture Your Share of the World's Largest, Fastest-Growing Market, said: "This 'female economy' will be replete with opportunities for companies to capture new consumers, increase market share, and open new markets.

"This is because surveys show that women are dissatisfied with the products and services available to them in many catagories, largely because companies misunderstand women's issues and fail to answer their needs. The areas with the most expressed dissatisfaction are three of today's most important consumer-goods categories: financial services, health care and consumer durables."

Dr Mohammed Badi, principal in BCG's Dubai and New York offices added: "Women want someone to walk them through the facts and help them understand their financial options, with clear information, educational materials and more engagement with advisors. Additionally, there is a strong business case for improving the quality of financial services for women in the Middle East, given the growth of female incomes and purchasing power."
Source : Arabian Business

Saudia back in business after glitch

2009-11-29T14:44:00.000-08:00

By Roger Harrison

JEDDAH: The South Terminal at King Abdulaziz International Airport in Jeddah was back in business on Saturday after last week’s flash flooding knocked out Saudia’s computer network.

The departure board Saturday afternoon showed one canceled and one delayed domestic flight. The level of traffic was, however, very low, with no queues at either the domestic or international departure desks.

Certainly there were few passengers at the inquiries and customer services desk. A senior Saudia official with responsibility for operations within the terminal said a couple of days ago there had been some problems. “Today however, there are no problems, everything is running normally,” he said.

Passengers told Arab News that there had been few if any problems traveling and others confirmed the official’s observation. Two German travelers bound for Dammam said they had checked the status of their flight early in the day at the main Saudia office. “Everything seemed to be operating normally and the systems appeared to be in order,” said one traveler.

The testing time for the airport ground handling staff will be in a few days as pilgrims flock to Jeddah for their return flights.

Source : Arab News

New Qatar tax law for companies, not individuals

2009-11-17T16:49:00.000-08:00

by Inal Ersan

Qatar's new income tax law would apply to revenues of corporations and not that of individuals, a government official said on Tuesday, clarifying a report on the official news agency.

The official Qatar News Agency said earlier on Tuesday the new income law would take effect as of Jan. 1, without specifying the type of income it would tax.

"This law will apply to companies ... not people," the official, who declined to be identified, told Reuters by telephone.

"Sheikh Tamim Bin Hamad Al Thani, the emir's deputy and crown prince, issued today... the income tax law," QNA had reported. "The law stipulates that it would be enacted as of the first of January 2010 and publication in the official gazette." (Reuters)

BRANDING STRATEGY

2009-11-11T18:39:00.000-08:00

Each company should develop their own policies regarding the brand of eye products in the same line. Brand is a combination of names, words, symbols or designs that give the identity of the product. As discussed above, that the advertised product but not the brand. Brand economic role if the brand is mass produced, so achieving economies of scale and a successful brand can hamper the memeperkenalkan competitors who want the same brand. Brand also has a strategic role with a difference between the brands offered by the company with its competitors brand. From the consumer perspective, a trusted brand is a guarantee of consistency of performance of a product and provide consumers the benefits sought when buying a particular product or brand. Brand also is a promise to consumers that by just saying his name, comes the hope that the brand will provide the best quality, comfort, status and other considerations when consumers make a purchase. Learn more Designing Brand Identity: An Essential Guide for the Whole Branding Team

Brand consists of private brands (private brand / store brand / distributor of brand / private label), brand-specific / individual (specific / individual brand), brand lines / families (line / family brand), brand companies (corporate brand), brand combination (cobination brand). Private brand is a brand-sponsored by the distributor, for example on large traders and retailers. Alfa pulled out of sugar with the supermarket brands but do not have the sugar factory, the Alpha uses the private brand of sugar distributor permission. Allows private brand wholesalers or retailers provide lower prices and allow for higher profit. Bahakan many overseas companies ranging from clothing in upscale real Indonesian production, but given the brand overseas. Similarly, Indonesian-made shoes, branded ordering from abroad. Although made in Indonesia, but with foreign brands were able to sell a good price. Because the sale was not a product but the brand.
Another strategy is to build a brand with a specific brand which is a strategy to provide the brand name of a specific product. Unilever uses this strategy, for example Ax for brand deodorant, for Blue Band margarine, Domestos for mosquito, for Omo detergent, Pepsodent toothpaste and for for Sunsilk shampoo. Similarly, P & G, for Camay soap brands, for Crest toothpaste, Duracell batteries, Gillette for razors, Head & Shoulders for shampoo and Pampers for diapers. Learn more Brand Portfolio Strategy: Creating Relevance, Differentiation, Energy, Leverage, and Clarity

Burj Dubai to open on Jan 4 - Alabbar

2009-11-04T16:42:00.000-08:00

By Soren Billing

Burj Dubai, the tallest building in the world, will not open until January 4 next year, it was announced on Wednesday.
09

The opening will coincide with the four-year anniversary of Sheikh Mohammed bin Rashid Al Maktoum becoming the ruler of Dubai, official news agency WAM reported.

"We decided to inaugurate the world's highest tower during an anniversary that is dear to the hearts of everyone," Emaar chairman Mohammed Alabbar said in a statement.
Learn more City of Gold: Dubai and the Dream of Capitalism

Source : Arabian Business

Hilal sukuk to be listed

2009-11-04T16:38:00.000-08:00

MANAMA: Hilal Sukuk Company's IFC Hilal Sukuk will be listed on the Bahrain Stock Exchange (BSE).

BSE acting director Ebrahim Al Aradi yesterday issued a resolution in this regard.

The size of the issue is $100 million and the duration five years until November 3, 2014.

It pays a fixed rate of 3.037 per cent every six months on May and November 3 every year during the issuance period.

Following the listing of IFC Hilal Sukuk, the number of Islamic sukuk and conventional bonds listed on the exchange reached 14 issues with an approximate total value of $ 3.33 billion.

Learn more Islamic Bonds: Your Guide to Structuring, Issuing and Investing in Sukuk

Source : Gulf Daily News

Washington shifts focus on Jerusalem

2009-11-04T16:34:00.000-08:00

CAIRO: Middle East peace talks must include the disputed city of Jerusalem, US Secretary of State Hillary Clinton said in Cairo on Wednesday, stressing Washington is determined to push for a Palestinian state.

“There is no doubt that moving toward a state that reflects the aspirations and the rights of the Palestinian people must include all of the issues that have been discussed and mentioned by President Barack Obama, and that includes Jerusalem,” she said.

“We want to assure you that our goal is a real state, with a real sovereignty,” she added at a joint press conference with Egyptian Foreign Minister Ahmed Aboul Gheit.

“Nothing can interfere with our commitment and our resolve to move forward, and there are impediments, yes, but we cannot let anything deter us,” she said. Clinton extended a regional trip at the last minute to meet Egyptian President Hosni Mubarak after creating a storm by praising an Israeli plan to restrict settlement construction on the occupied West Bank.

The secretary of state said on Wednesday that the settlements were illegitimate but again described the plan as “unprecedented.” “Our policy on settlement activity has not changed. We do not accept the legitimacy,” she said, adding that the Israeli offer, which would allow a limited expansion of the settlements, was “not what we prefer.”

But “what we have received from the Israelis ... is unprecedented,” she said. “It’s a positive movement ... just like the Palestinians made progress on security,” she said.

Aboul Gheit, who had said Cairo wanted Clinton to clarify her remarks on the settlements during her visit, described his and Mubarak’s meetings with her as “very useful.” He blamed Israel for stalling the peace process but appeared to suggest a softening of Egyptian support of the Palestinians’ refusal to resume talks in the absence of a settlement freeze. “Israel is putting conditions to start negotiations by continuing to hold on to settlement activity,” the foreign minister told reporters. Learn more
Witness in Palestine: A Jewish American Woman in the Occupied Territories

Source :Agencies

Ramadan food supply pledged

2009-08-20T16:23:00.000-07:00

MANAMA: Industry and Commerce Minister Dr Hassan Fakhro yesterday toured Manama and Muharraq central markets.

Fruit and Vegetable traders confirmed the ample availability of both for the whole month of Ramadan.

Fruit and Vegetable supplier Redha Al Bustani affirmed that markets are loaded well above the market's needs.

Ibrahim Salman from Bahrain Livestock Company confirmed the availability of meat and said it would be enough for Ramadan, noting that next Friday a ship will arrive loaded with 21,000 Australian cattle.

Dr Fakhro also inspected Lulu Hypermarket in Dana Mall. The general manager assured him of the stability of food prices. He added that there are a lot of promotional campaigns for goods in high demand during Ramadan.

Thanks to Industry and Commerce Ministry's efforts to educate consumers, they are now not accumulating goods, but buying them day by day.

Source : Gulf Daily News

Moody’s assigns A3 long-term rating to Masraf Al Rayan

2009-08-20T16:13:00.000-07:00

by Martin Morris
Moody's on Wednesday assigned A3 long-term and Prime-2 short-term local and foreign currency issuer ratings as well as a D+ bank financial strength rating (BFSR) to Masraf Al Rayan (MAR), with a stable rating outlook.

This is the ratings agency’s first public rating assigned to an Islamic bank in Qatar.

The agency noted that with $4.6 billion of assets at December 31 2008, MAR is a small financial institution by domestic and regional standards and holds a market share of around 5% in domestic banking assets.

But it added that MAR is one of Qatar's most successful Islamic banks and commands around 25% of the country's Shari'ah-compliant banking assets.
Despite its small size, the agency says MAR enjoys a solid brand name and a strong reputation as one of the most dynamic Shari'ah-compliant financial institutions in the country.

It added that the D+ BFSR - which maps to a baseline credit assessment (BCA) of Ba1 reflects MAR's growing franchise as one of Qatar's few Islamic banks, its close ties with the government of Qatar, strong financial performance and asset quality, as well as ample capitalisation and satisfactory liquidity.

It noted though that the rating is constrained by a short track record and limited absolute size, high degree of concentration risks, rapid balance sheet growth, as well as a still imbalanced funding continuum that is heavily reliant on short-term customer deposits, generating both maturity mismatches and displaced commercial risks.

''Moody's assesses the probability of systemic support in the event of a stress situation to be very high, based on Moody's assessment of Qatar (rated Aa2) as a high-support environment, especially for domestic, retail deposit-taking institutions like MAR.''
The outlook on the ratings is stable - Moody's considering both an upgrade and a downgrade of the bank's current BFSR and issuer ratings to be unlikely over the medium term.
Source : Arabian Business

Road works add to Makkah’s traffic woes

2009-08-20T16:02:00.000-07:00

Hamid Al-Sulami

MAKKAH: With the number of visitors to Makkah likely to see a huge increase during Ramadan, unfinished and ongoing road construction will add to the traffic problems that already exist in the holy city.

Work on some of the city’s arterial roads has forced the authorities to divert traffic, leading to a crush of vehicles not only at peak times but nearly around the clock.

The seasonal rush, in addition, will not only increase vehicular traffic but also the number of pedestrians on roads thereby leaving the authorities with a logistical nightmare.

The construction work is not only impacting traffic but also businesses, which generally wait all year for the Ramadan and Haj seasons in which they make the bulk of their sales.

Some businesses are already suffering be-cause of the ongoing projects. Trenches and diversions as well as construction material on the side of the roads are proving to be stumbling blocks for customers and businesses alike. Negotiating paths to these stores is difficult, something that puts off prospective customers. Store entrances are some times blocked by construction materials for these projects.

Business owners — who are hoping to make money after a lean period during the summer — say the projects are driving away customers and are calling for the municipality to complete the work at the earliest.

Despite construction companies repeatedly promising to finish the projects on time and before the summer vacation and Ramadan, the end is nowhere in sight. The fact that these companies are not accountable allows them to set their own schedule. There is also no supervision from the municipality. That is why many of these businessmen have called for an imposition of deterrents on construction companies — like hefty fines, punishment or both.

One example of the woes Makkah people face can be seen on the Al-Haj Street, which is under constant construction, something that has forced people to take different routes, leave earlier for their daily chores and plow through additional traffic.

Suleiman Fehaid, a Makkah resident, said there is much roadwork going on in and around the city. “It is frustrating for residents to be forced to use other roads just to get home. These roads should be ready for use because many pilgrims will be arriving and it will be a disaster if these roads remain closed, or dug up,” he said. Another resident, Mansour Al-Otaibi, said Makkah’s people are used to congested traffic. He said what is not acceptable is the delay in completing the road projects.

“On the ring road leading to Al-Awali, there is some construction work in the middle of the road. This is causing huge traffic jams,” said Al-Otaibi, adding that if this is the case now then what will be the situation when numbers swell during Ramadan.

“Road maintenance is important but what is more important is for companies to stick to deadlines and finish projects on time. Most of these projects started in the summer. The authorities must know the time frame for each project. If the project is going to take a long time, then why did they not begin them early to finish before the Ramadan rush,” he said.

Source : Arab News

Orphans to receive Ramadan gifts

2009-08-19T15:26:00.000-07:00

K.S. Ramkumar

JEDDAH: This year’s Eid Al-Fitr will be special for thousands of orphans in Saudi Arabia and their counterparts in certain Muslim countries.

Surprising them with their favorite toys will be the month long Ramadan effort by Makkah Charitable Foundation of the Muslim World League, which in collaboration with certain shopping malls Kingdomwide, will be collecting toys from donors at various shopping malls in different parts of the Kingdom.

“The Giving Box” campaign will benefit more than 31,000 orphans including 5,000 in Saudi Arabia and more than 26,000 living in various Islamic countries,” Marwan H. Zawawi, acting vice president sales and marketing at Kinan International Real Estate Development Co. of Savola Group, said at the launch of the campaign at Roshan Mall on Tuesday.

The drive kicked off with two Alawadi children, Omar and Ali, dropping toys in a huge box as their donation.

The campaign aims to collect toys from donors shopping at Kinan’s seven malls in Madinah, Riyadh, Jeddah, Yanbu and Jubail during the holy month and distribute them to the orphans sponsored by the foundation. “The idea of presenting toys to orphans is aimed at making them feel the joy of Eid like all children who have parents to grant them love, compassion and giving,” Zawawi said. Sudan and Yemen are among the countries whose orphans will benefit from the drive, described as the first of its kind.

The campaign’s objective is also to develop the spirit of giving among all members of society, especially children, and urge them to donate their extra toys to orphans so that they enjoy the festival and grow up to do good and provide a helping hand to the needy,” he added.
Source : Arab News

Dow Jones expands Islamic market measure

2009-08-09T15:50:00.000-07:00

By Soren Billing

Dow Jones Indexes has expanded its Islamic Market Index universe with 11 countries.

Effective immediately, Saudi Arabia, Lebanon, Tunisia, Argentina, Colombia, Croatia, Mauritius, Nigeria, Peru, Serbia and the Ukraine will be added to Dow Jones’ Islamic market indices, taking the total number of markets to 68.

In addition, Saudi Arabia and Tunisia will be added to the Dow Jones Islamic Market MENA index, which currently measures the performance of Shariah compliant stocks traded in Bahrain, Egypt, Jordan, Kuwait, Morocco, Oman, Qatar and the UAE.
“The inclusion of these 11 thriving and competitive developing countries in the Dow Jones Islamic Market Index universe is a reaction to market demand but also reflects the growing importance of these countries for Islamic investors,” said Michael A. Petronella, president of Dow Jones Indexes.

The Dow Jones Islamic Market Indexes were launched in 1999 and seek to measure the global universe of listed equities that pass screenings for Shariah compliance.

Conservatives prep for JCCI elections

2009-08-09T15:34:00.000-07:00

By Galal Fakkar

JEDDAH: The election for a new board of directors of the Jeddah Chamber of Commerce and Industry (JCCI) in October is culminating in what is being viewed as a showdown between varied interests of reformists versus a unified bloc of conservatives.

The JCCI is the largest chamber in Saudi Arabia and the Gulf region with the city of Jeddah alone home to 40 percent of commercial activity in the Kingdom.

“It is high time the conservatives run for the elections at the chamber, especially considering that the reformists have controlled the board of directors of the chamber for many long years,” a conservative candidate said on condition of anonymity.

“The JCCI is now our target after we have extended our role in the service of society and in promoting social responsibility of companies.”

The candidate said there was coordination and contacts between the sons and daughters of a number of famous trading families who had a long history in supporting the activities of welfare societies.

“They are familiar faces in the public service while at the same time they are successful traders,” he added.

Chamber member Abdullah Damas said the victory of the conservatives in the elections of the 12-member municipal council in its first session five years ago gave them more confidence to move ahead in the JCCI.

Half of the seats of the municipal council are filled by popular vote. The other half of the membership of the council is appointed. All adult men are allowed to vote. Conservatives won in those elections that some claimed were biased in favor of a so-called “Golden List” of predominantly conservative candidates backed by local religious leaders. The critics filed a lawsuit against the election results but lost the case.

Damas said that the conservatives vying for positions at the JCCI “are organized people with distinctive footprints in the world of business.”

According to chamber sources, the reformists are running in three blocs while the conservatives have coalesced into one bloc backed by the conservative members of the municipal council who have called for “infusing new blood into the chamber.”

Sources said current members of the JCCI board of directors will not constitute a bloc of their own but may join the blocs of either the conservatives, the reformists or the independents.

It is expected that more than 100 candidates from reformists, conservatives and independents will run in the elections. A number of the incumbent board members, including four women, have expressed their intention of running in the elections.

The Elections Committee will meet by the end of August to draw up its working plans for the elections. Chambers of commerce in Saudi Arabia are powerful commercial organizations that act as quasi-governmental organs that issue licenses and notarize official documents. They are comprised of various committees that lobby for different interests, such as lawyers, manufacturers or fisheries.

The JCCI has about 20,000 members, but those who have not renewed their membership six months before the election date will not be allowed to vote.

An analyst, who did not want to named, said if a reformist group, headed by Dr. Abdullah Saddiq Dahlan, won, he might allow foreign investors to run for the elections of the chamber in the future.

Dahlan is Saudi Arabia’s current representative to the International Labor Organization. He was a former secretary-general of the JCCI and once served on the Shoura Council.

Source : Arab News

NBK buys 13.2% of KIA’s stake in Boubyan for $295m

2009-07-25T15:50:00.000-07:00

by Soren Billing

National Bank of Kuwait (NBK) has bought 13.2 percent of the Kuwait Investment Authority’s (KIA) stake in Islamic lender Boubyan Bank for $295m at a public auction.

NBK bought 154 million shares in the bank for KD84.7m ($295m) or 550 fils a share, taking its holding in Boubyan to 321 million shares, or 27.5 percent.

KIA had set a minimum price of 550 fils ($1.91) per share for the auction, it was reported last month.

NBK, the country's biggest bank by assets, previously agreed to buy a 19.2 percent stake in Boubyan from Commercial Bank of Kuwait (CBK) but Investment Dar, the investment firm that has defaulted on a $100m sukuk, is disputing CBK’s right to sell the stake.

National Bank of Kuwait (NBK) has bought 13.2 percent of the Kuwait Investment Authority’s (KIA) stake in Islamic lender Boubyan Bank for $295m at a public auction.

NBK bought 154 million shares in the bank for KD84.7m ($295m) or 550 fils a share, taking its holding in Boubyan to 321 million shares, or 27.5 percent.

KIA had set a minimum price of 550 fils ($1.91) per share for the auction, it was reported last month.

NBK, the country's biggest bank by assets, previously agreed to buy a 19.2 percent stake in Boubyan from Commercial Bank of Kuwait (CBK) but Investment Dar, the investment firm that has defaulted on a $100m sukuk, is disputing CBK’s right to sell the stake.

Related: NBK raises Boubyan Bank stake
Related: Kuwait's Investment Dar wins CBK lawsuit
Story continues below ↓
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Dar, which owns half of luxury British car maker Aston Martin, has won a court ruling to have the sale suspended.

NBK vice chairman Nasser Al Sayer said Wednesday’s acquisition was an important strategic move for the bank, providing it with a gateway into the Islamic banking market.

“Our main goal is to stabilise Boubyan Bank, enhance its position in the local market and develop its various Islamic banking services,” he said.

The management and operations of NBK and Boubyan would be kept separate and fully independent of each other in accordance with Islamic Banking law and regulation, he added.
Source : Arabian Business

Key business continuity service a boon for BBK

2009-07-25T15:38:00.000-07:00

MANAMA: Batelco will provide disaster recovery and business continuity services to BBK, it was announced yeaterday. The telecom operator will be working with BBK to ensure business continuity for the bank in the face of any unexpected event that could affect their daily operations and the provision of services to its customers.

"Business Continuity services help ensure that our customers are fully prepared for any unplanned event which could interrupt the delivery of their services and impinge on their profitability," said Batelco chief executive officer Gert Rieder.

Batelco offers Business Continuity services at a secure site within one of its premises with high-quality fully-equipped office space from which businesses can continue to run their operations.

The site is maintained within Batelco's fully-managed environment with fully-redundant power systems supported by backup and uninterrupted power supply to ensure high availability.

Strict measures are enforced to guarantee enhanced security backed up by a dedicated team at the facility round the clock.

"The infrastructure is based on a highly-resilient network with multiple high-speed connections to the Internet managed and monitored by out Network Operations Centre," said Batelco general manager for enterprise and government division Dr Abdullah Al Thawadi.

"Recovery stations are pre-installed with customer specific applications and connectivity to ensure the shortest possible restoration times in the event of a disaster or system failure at the customer's premises."

The Business Continuity services complement Batelco's Data Centre offering, which is very secure facility that serves as a repository for the storage, management and dissemination of data and information for organisations.

Major companies, including BBK, which has been a customer for five years, currently host their critical data off-site at Batelco's Data Centre to ensure business continuity in the face of any environmental or technical disaster.

Other global communication and technology providers also choose the Batelco Data Centre as their primary point of presence.

Source : Gulf Daily News

Israelis arrest Palestinian activist

2009-07-25T15:13:00.000-07:00

By Mohammed Mar'i
RAMALLAH: Israeli troops arrested Palestinian activist Nasr Mahmoud Rashad Abu Kishk from his home in the West Bank town of Nablus overnight, a Palestinian security source and the Israeli army said on Friday.

Abu Kishek, 33, is chief of a local unit of Al-Aqsa Martyrs’ Brigades, an armed group affiliated to the Fatah movement of Palestinian President Mahmoud Abbas. The source said Abu Kishk was one of a group of activists whom the Israeli security forces had agreed not to pursue after they renounced armed operations against the Jewish state.

But an Israeli military spokesman, who confirmed Thursday night’s arrest, said the activist had been wanted since 2001 for attacks on Jewish occupiers in Yitzhar and Israeli troops in the occupied West Bank. Abu Kishk was also wanted for “trafficking of arms and the assassination of a Palestinian suspected of having collaborated with Israel,” the spokesman said.

In other military activity in the West Bank overnight Thursday, troops arrested a “wanted” Palestinian in the village of Biddo, southwest of Ramallah.
Source : Arab News

Kuwaiti firm CEO sued

2009-07-23T17:04:00.000-07:00

NEW YORK: Securities regulators yesterday sued the head of a Kuwaiti investment firm seeking the return of millions of dollars in profits reaped after false takeover rumors sent shares of two US companies soaring.

The Securities and Exchange Commission (SEC), which filed the civil lawsuit in the US District Court in Manhattan, said Hazem Khalid Al Braikan, Al Raya Investment Company and other related entities in Kuwait and Bahrain had realised trading profits of more than $5 million from suspicious trading.

The SEC said the defendants "profited from amassing large positions" in securities of Harman International Industries and Textron shortly before bogus announcements of takeover offers for the companies.

Other defendants include United Gulf Bank, described in the court papers as the investment banking arm of Kuwait Projects Company (Holding), and KIPCO Asset Management, a UGB unit.

The SEC said Al Braikan is chief executive officer of Al Raya, which the SEC said "purports to be" an international asset management company created in 2007 with KIPCO Asset Management.

Source : Guld Daily News

Clinton clarifies Iran nuclear policy

2009-07-23T16:42:00.000-07:00

by AFP
Secretary of State Hillary Clinton on Wednesday stirred Israeli fears that Washington would accept a nuclear armed Iran when she raised the idea of a US "defence umbrella" for Gulf allies.

However, Clinton, during a visit to Thailand for an Asian security conference, said later that she was not announcing a new policy and simply wanted to turn Iran away from pursuing a nuclear weapon.

Clinton told Thai television in Bangkok that President Barack Obama's administration was still open to engage Iran in talks about its nuclear programme but warned that Tehran would not be safer if it obtains a bomb.

"We will still hold the door open" to talks over its nuclear program Clinton said.
"But we also have made it clear that we will take action, as I've said time and time again, crippling action, working to upgrade the defence of our partners in the region," she said.

Her previous references to "crippling action" have referred to sanctions.

"We want Iran to calculate what I think is a fair assessment: that if the US extends a defence umbrella over the region, if we do even more to support the military capacity of those in the Gulf, it is unlikely Iran will be any stronger or safer," Clinton said.

"They won't be able to intimidate and dominate as they apparently believe they can once they have a nuclear weapon."

In Jerusalem, Israeli Intelligence Services Minister Dan Meridor criticised her remarks.

"I heard without enthusiasm the American declarations according to which the United States will defend their allies in the event that Iran uses nuclear weapons, as if they were already resigned to such a possibility," he said.

"This is a mistake," Meridor said. "We cannot act now by assuming that Iran will be able to arm itself with a nuclear weapon, but to prevent such a possibility."

Clinton made her initial comments during a recording for a Thai television show before heading to Asia's largest security forum in the Thai resort island of Phuket, where talks were expected to focus on possible nuclear links between North Korea and Myanmar.

Speaking at a press conference in Phuket later, Clinton suggested her remarks were misunderstood.

"I'm not suggesting a new policy. In fact we all believe that Iran's pursuit of nuclear weapons is unacceptable, and I've said that many times," she said.

"I'm simply pointing out that Iran needs to understand that it's pursuit of nuclear weapons will not advance its security or achieve its goals of enhancing its power regionally and globally," she said.

"The focus that Iran must have is that it faces the prospect - if it pursues nuclear weapons - of sparking an arms race in the region," she said.

"That should affect a calculation of what Iran intends to do and what it believes is in its national security interest because it may render Iran less secure, not more secure," she said.

US lawmakers on Monday stepped up pressure on Obama to ready tough new economic sanctions on Iran in the event Tehran fails to freeze its uranium enrichment programme by late 2009.

Iran, labouring under UN sanctions for its defiance, has rejected the West's charges that it seeks nuclear weapons under cover of a civilian atomic energy program.

Obama has said he wants a diplomatic solution to the standoff but has repeatedly warned that he has not ruled out the use of force.
Source : Arabian Business

How Israel lobby controls US

2009-07-23T16:28:00.000-07:00

Jeff Gates
IN the early 1960s, Sen. William J. Fulbright fought to force the American Zionist Council to register as agents of a foreign government. The council eluded registration by reorganizing as the American Israel Public Affairs Committee. AIPAC has since become what Fulbright most feared: A foreign agent dominating American foreign policy while disguised as a domestic lobby.

Israelis and pro-Israelis object when they hear that charge. How, they ask, can we so few wield such influence over so many? Answer: It’s all in the math. And in the single-issue advocacy brought to bear on US policy-making by dozens of “domestic” organizations that now compose the Israel lobby, with AIPAC its most visible force.

The political math was enabled by Sen. John McCain whose support for all things Israeli ensured him the GOP nomination to succeed George W. Bush. McCain’s style of campaign finance reform proved a perfect fit for the Diaspora-based fundraising on which the lobby relies. Co-sponsored by Sen. Russ Feingold of Wisconsin, this change in federal election law typifies how Israeli influence became systemic.

“McCain-Feingold” raised the amount (from $1,000 to $2,300) that candidates can receive from individuals in primary and general elections. A couple can now contribute a combined $9,200 to federal candidates: $4,600 in each of the primary and general elections. Primary elections, usually low-budget, are particularly easy to sway.

Importantly for the Diaspora, this change also doubled the funds candidates can receive without regard to where those contributors reside. A candidate in Iowa, say, may have only a few pro-Israeli constituents. When campaign support is provided by a nationwide network of pro-Israelis, that candidate can more easily be persuaded to support policies sought by Tel Aviv. Diaspora-based fundraising has long been used by the lobby with force-multiplying success to shape US foreign policy. Under the guise of reform, John McCain doubled the financial resources that the lobby can deploy to elect and retain its supporters.

Fulbright was Right. The influence-peddling process works like this. Candidates are summoned for in-depth AIPAC interviews. Those found sufficiently committed to Israel’s agenda are provided a list of donors likely to “max out” their campaign contributions. Or the process can be made even easier when AIPAC-approved candidates are given the name of a “bundler.”

Bundlers raise funds from the Diaspora and bundle those contributions to present them to the candidate. No quid pro quo need be mentioned. After McCain-Feingold became law in 2003, AIPAC-identified bundlers could raise $1 million-plus for AIPAC-approved candidates simply by contacting 10 like-minded supporters. Here’s the math:

The bundler and spouse “max out” for $9,200 and call 10 others, say in Manhattan, Miami, and Beverly Hills. Each of them max out ($10 x $9,200) and call 10 others for a total of 11. (111 x $9,200 = $1,021,200.)

Imagine the incentive to do well in the AIPAC interview. One call from the lobby and a candidate can collect enough cash to mount a credible campaign in most congressional districts. From Tel Aviv’s perspective, that political leverage is leveraged yet again because fewer than 10 percent of the 435 House races are competitive in any election cycle (typically 35 to 50).

Additional force-multipliers come from: (a) sustaining this financial focus over multiple cycles, (b) using funds to gain and retain seniority for those serving on congressional committees key to promoting Israeli goals, and (c) opposing any candidates who question those goals.

“Jewish Achievement” reports that 42 percent of the largest political donors to the 2000 election cycle were Jewish, including four of the top five. That compares to less than two percent of Americans who are Jewish. Of the Forbes 400 richest Americans, 25 percent are Jewish according to Michael Steinhardt, a key funder of the Democratic Leadership Council. The DLC was led by Jewish Zionist Sen. Joe Lieberman when he resigned in 2000 to run as vice president with pro-Israeli presidential candidate Al Gore.

Money was never a constraint. Pro-Israeli donors were limited only by how much they could lawfully contribute to AIPAC-screened candidates. McCain-Feingold raised a key limit. The full impact of this foreign influence has yet to be tallied. What’s known, however, is sufficient to apply the Foreign Agents Registration Act. Of the top 50 neoconservatives who advocated war in Iraq, 26 were Jewish (52 percent).

Harry Truman, a Christian Zionist, remains one of the more notable recipients of funds. In 1948, he was trailing badly in the polls and in fundraising. His prospects brightened dramatically in May after he recognized as a legitimate state an enclave of Jewish extremists who originally planned to settle in Argentina before putting their sights on Palestine.

That recognition was opposed by Secretary of State George C. Marshall, the Joint Chiefs of Staff, the bulk of the diplomatic corps, the fledgling Central Intelligence Agency and numerous distinguished Americans, including moderate and secular Jews concerned at the troubles that were certain to follow. Not until 1984 was it revealed that a network of Jewish Zionists had funded Truman’s campaign by financially refueling his whistle-stop campaign train with $400,000 in cash ($3 million in 2009).

To buy time on the public’s airwaves, money raised from the Israel lobby’s network is paid to media outlets largely owned or managed by members of the same network. Presidents, senators and congressmen come and go but those who collect the checks rack up the favors that amass lasting political influence.

The US system of government is meant to ensure that members of the House represent the concerns of Americans who reside in congressional districts — not a nationally dispersed network (a Diaspora) committed to advancing the agenda of a foreign nation. Federal elections are meant to hold senators accountable to constituents who reside in the states they represent, not out-of-state residents or a foreign government.

In practical effect, McCain-Feingold hastened a retreat from representative government by granting a nationwide network of foreign agents disproportionate influence over elections in every state and congressional district. Campaign finance “reform” enabled this network to amass even more political clout — wielding influence disproportionate to their numbers, indifferent to their place of residence and often contrary to America’s interests.

This force-multiplier is now wielded in plain sight, with impunity and under cover of free speech, free elections, free press and even the freedom of religion. Therein lies the perils of an entangled alliance that induced the US to invade Iraq and now seeks war with Iran. By allowing foreign agents to operate as a domestic lobby, the US was induced to confuse Zionist interests with its own.
Source : Arab News

Aramco to seek bids for gasfield contracts

2009-07-20T15:32:00.000-07:00

KHOBAR: Saudi Aramco is planning to invite bids for gas facilities contracts at its Arabiyah gasfield and Shaybah oilfield in the second quarter of next year, sources said yesterday.

The company is shifting its exploration and production focus to developing gas supply to meet rapidly rising domestic demand after completing a massive crude capacity expansion this year.

The world's top oil exporter is experiencing annual gas demand growth of seven per cent per year as oil revenues fuel economic expansion.

Preliminary design and engineering work and project management contracts for the two projects will be awarded in September, contractors said.

The early design should be completed in the second quarter, after which the bidding packages for building the facilities will be issued, they said.

Arabiyah is one of two offshore gasfields non-associated with oil that Aramco discovered in January. The other was Hasbah. It is unclear how much gas Arabiyah alone could pump, but the two together could supply 1.8 billion cubic feet per day (cfd) of gas. The Arabiyah gas development programme includes gas processing facilities, platforms and subsea pipelines that will be built at the 900,000 bpd Moneefa oilfield.

The project was scheduled to come on stream in February 2014, one contractor said.

An Aramco executive said earlier that the state-run firm will build a gas plant at Moneefa. The plant will process 1bn cfd of gas from Arabiyah and Hasbah, he said.

At Shaybah, Aramco plans to build a natural gas liquids recovery plant. Work includes building a natural gas liquids splitter and debottlenecking gas-oil separation plants, sources said.

Shaybah's gas facilities will be ready by March 2014 and on stream in May 2014.

Source : Gulf Daily News

Sukuk defaults seen rising as global slowdown weighs

2009-07-20T15:13:00.000-07:00

by Reuters
A default on Islamic bonds by Kuwaiti firm Investment Dar is just the tip of the iceberg, with more failures expected as the weak global economy hits issuers, industry experts warned on Wednesday.

Unlike traditional banking, the $1 trillion Islamic finance industry has just begun to feel the chill of the global downturn, with practitioners and analysts trying to assess the extent of the fallout on the sector.

Investment Dar said in May it had defaulted on a $100 million Islamic bond, the first such default for a major, public Islamic instrument in the Gulf.
Troubled Saudi conglomerates Saad Group and Ahmad Hamad Algosaibi & Bros, are restructuring their debt, triggering concerns of a spillover effect on the Islamic finance industry.

Neale Downes, a Bahrain-based lawyer at Trowers & Hamlins, estimated that 5-8 percent of Islamic bonds, or sukuk, in the market are susceptible to default as many were raised for real estate projects which have been hurt by the slowdown.

"A lot of the issuers are ultimately really sovereign or quasi sovereign so they will probably be able to draw on government support either directly or behind the scenes," Downes said on the sidelines of an Islamic banking conference in Kuala Lumpur.

The value of sukuk issued in 2008 dropped by more than 56 percent compared with 2007 to $14.9 billion, due mainly to the global credit crunch, according to Standard & Poor's. It expects the market to recover in the second half of 2009 or early 2010.

"The longer the global recession goes, the higher the likelihood of default," said Mohammad Faiz Azmi, global Islamic finance leader at PricewaterhouseCoopers.

"People are now using reserves or savings to try to keep themselves going. How long can that last? So far what we've seen is the tip of the iceberg."

Source : Reuters

Hamas, Fatah delay unity talks again

2009-07-20T14:56:00.000-07:00

Hisham Abu Taha & Mohammed Mar'i

GAZA/RAMALLAH:Egyptian-mediated Palestinian reconciliation talks between rivals Fatah and Hamas set for next Saturday have been delayed for a month. A senior Fatah official on Saturday said that his movement and Hamas decided to postpone the talks until Aug. 25.

Azzam Al-Ahmed, a member of Fatah team to Cairo reconciliation talks, said in a press statement that the dialogue between the two groups had failed to reach a deal. “Egyptian officials decided that some issues required further discussion and efforts. The date for the last round of talks, July 25, does not leave enough time to resolve the differences,” said Al-Ahmed.

“So it was agreed to delay the talks until Aug. 25,” he added.

The rival Palestinian factions resumed reconciliation talks in February and had agreed to begin what they said would be a final round on Saturday.

Cairo has been mediating the talks between President Mahmoud Abbas’s Fatah party and Hamas aimed at healing bitter divisions between the two, aggravated when Hamas seized control of Gaza in 2007.

Hamas and Fatah delegations have been meeting in Cairo over the last two days to discuss the talks’ progress.

The talks hope to seal a deal which will lay out a new electoral law as well as define the make-up of security forces and of a committee to liaise between the Gaza Strip and the West Bank ahead of an election in 2010. Meanwhile, a senior Hamas leader on Sunday accused Fatah movement of creating a negative atmosphere by continuing to arrest Hamas members in the West Bank, and rejecting the Egyptian proposals.

In an interview with a local news agency Ma’an, Sami Abu Zuhri said that “Fatah is not interested in any national reconciliation”, while his movement has already accepted an Egyptian initiative to end political arrests and create an interim committee to govern the Gaza Strip and a joint security force.

“We in Hamas are ready to hold the elections but on the condition of holding it inside Palestine and in diaspora including the National Council and the Judicial Committee,” he said, accusing Fatah of seeking to delay elections slated for next January. He also said that elections would require an end to the siege of Gaza, the beginning of reconstruction in Gaza, the release of prisoners, and international safeguards against further Israeli arrests of Palestinian legislators.

Source : Arab News

Garuda to need one year to prepare for European market

2009-07-11T15:51:00.000-07:00

Denpasar - PT Garuda Indonesia will need nine to 12 months to prepare for the European market following the lifting of the European Union`s ban on Indonesian airline fligths into the region.

"Our fleet is now being prepared and new aircraft will be added to it every year," the airline company`s senior general manager for the Eastern region, Suranto, said after opening Garuda Indonesia Frequent Flyers (GFF) Golf Tournament 2009 in Tabanan, Bali, on Friday.

He said Europe was an extraordinary market to tap. Garuda meanwhile plans to start flying to Amsterdam in the middle of 2010.

"We have longed for the lifting of the ban. We now have to prepare the time frame for entering there," he said.

The general manager of the Garuda Indonesia office here, Bagus Y Siregar, said Garuda as a national air carrier would continue to expand its market.

"This year we are still growing. A number of domestic routes have been reopened as well as international ones such as Hong Kong," he said.

Garuda, he said, has loyal and strong markets. To maintain the loyalty of its customers, he said, Garuda, would give its best service to them.

"The GFF Golf Tournament is one of the forms of appreciation we give to our customers. We always want to be the best for our customers," he said.

He said until now the number of GFF members had already reached 10,608. The best player in the tournament would be sent to international tournaments. The tournament offers Rp400 million in cash prize for players who make a hole-in-one.

"Many Garuda passengers holding GFF cards fly twice to three times a week," he said.

Source : Antara News

Dow Jones launches Islamic Index

2009-07-11T15:44:00.000-07:00

by Martin Morris
Dow Jones Indexes announced on Wednesday it has licensed the Dow Jones Islamic Market International Titans 100 Index to Javelin Investment Management, an investment adviser registered with the SEC.

The blue-chip index will underlie the first Shari'ah compliant exchange-traded fund listed in the US - the JETS Dow Jones Islamic Market International Index Fund (JVS).

The index measures the stock performance of 100 leading non-US companies that have passed rules-based screens for Shari'ah compliance.

To determine their eligibility firms are screened based on their industry type and their financial ratios.
The US dollar denominated index is free-float market capitalization weighted and each component's weight is capped at 10% of the index to avoid overweight of one single stock.

"The Dow Jones Islamic Market International Titans 100 Index provides market participants around the world with exposure to the 100 leading Shari'ah-compliant companies outside the United States.

''Javelin's decision to select it as the underlying index for the first Shari'ah compliant ETF in the United States enables market participants to complement their existing US portfolios with international coverage," said Michael A. Petronella, president, Dow Jones Indexes.

The index composition is offiically reviewed annually in June, as well as on an ongoing basis to account for corporate actions such as mergers, de-listings or bankruptcies. Year-to-date, it is up 10.34% through June 30, 2009.

There are currently more than 150 licensees with more than $7 billion in assets benchmarked to the Dow Jones Islamic Market Indexes.

Source : Arabian Business

Muslims decry violence against Uighurs

2009-07-11T15:39:00.000-07:00

Siraj Wahab
ALKHOBAR: A large section of Muslims yesterday offered special prayers for the well-being of their co-religionists in Urumqi and Kashgar in China’s far-west Xinjiang province. They expressed shock at the violence that is being meted out to Uighurs by Han Chinese in a region that Muslims know as East Turkestan. They prayed for peace to prevail in the region and expressed complete solidarity with the besieged people.

“The images that are coming out of Urumqi are very painful. Club-wielding Han Chinese, who are being resettled in the region, are roaming the streets. I have seen television images of Uighur women cowering in fear at the impending attacks.

“We knew not everything was all right in the Muslim-dominated province of China, but we were oblivious to the scale of the anti-Muslim sentiment there,” said Amin Nasser Kashgari, who works as a subcontractor for a water utility firm in Dammam. Amin Kashgari’s forefathers belonged to Kashgar, which is close to Urumqi and which has also been the focus of the recent troubles.

“These are very dark days for the Uighur people. It is a repressive regime in China. Remember what they did to their own people at Tiananmen Square. Uighurs are not Chinese. They speak their own language. They have their own distinct culture. This is certainly not to the liking of the Han Chinese who are being resettled in the predominantly Muslim region... Violence has been simmering in the region for a long time,” he pointed out.

Saad Muhammad Al-Qahtani, who offered Friday prayers along with a large group of faithful at a prominent mosque in Alkhobar, said China enjoyed a good reputation among Saudis. “We all know they are a hard-working people, that they are in line to become the world’s next superpower. However, this repression against Muslims in China has unnerved me. What I see and hear is beyond words. Some people in our family circle have suggested that what is happening there is certainly no different than what is happening in Palestine. It is just that the media is not fully aware of what is happening in China,” he said.

“Witnesses quoted by Arabic television channels have confirmed that demonstrators were shot and beaten to death by Chinese police, and some were even crushed under armored vehicles,” claimed an agitated Al-Qahtani. Jameel Muhammad Hotani, a young science student at a local university, said chat rooms frequented by Arabs were vociferously discussing the Uighur issue. “There is a lack of awareness about the region. Whatever information is available is available through the Western news agencies. They are basically talking about only the current troubles. There is no mention of the roots of the problem,” he said. According to Saudis of East Turkestani origin, what is happening in East Turkestan is nothing less that what is happening in Palestine. “Just as Israel is busy usurping Arab land and ‘Judaizing’ Jerusalem, China is usurping East Turkestan. In the 1940s and 1950s and 1960s China brought in millions of Han Chinese to settle them on Uighur land. A lot of these Han Chinese were basically criminal elements and they have wreaked havoc in the region,” said Abdul Qader, Jameel Muhammad’s brother.

The Hotani brothers trace their ancestry to Hotan in East Turkestan. They said their father and grandfather were among the Uighur elite. They were part of the East Turkestani government. When China flooded East Turkestan with Han Chinese, most of the Uighurs who had the resources fled the region. “It was in mid-1940s that our parents landed in Saudi Arabia. They were among so many Uighurs who were offered Saudi hospitality,” said Qader. They urged China to heed international opinion and end all violence. “We call on the Chinese government to ensure the safety of everyone living in East Turkestan,” Qader added. The violence in East Turkestan prompted Organization of the Islamic Conference (OIC) Secretary-General professor Ekmeleddin Ihsanoglu to issue two statements in the last three days. He expressed deep concern at the deteriorating situation in Uighur Autonomous Region of China and in particular the loss of life in great number among the civilians and the loss of property.

Ihsanoglu deplored the climate of fear that the Uighur people are obliged to live in. He called upon the Chinese government to provide protection for the civilian population and to allow them to return to their normal life.

“It is my belief that the chronic problem facing the Uighur people could not be solved through security measures alone.”

Source : Arab News

Iran's Mousavi urges defiance

2009-06-21T16:35:00.000-07:00

Mir Hossein Mousavi, the politician at the centre of Iran's opposition movement, has encouraged his followers to continue their protests over the presidential election.

In a statement on his website on Sunday, Mousavi said that people had the right to protest against "lies and fraud", but urged them to show restraint as they take to the streets.

Mahmoud Ahmadinejad, the conservative incumbent president, was declared the winner of the June 12 election with a landslide victory, but Mousavi and another challenger have complained that it was rigged.

Mousavi's statement appeared on the website of his Kalameh newspaper as reports emerged of police attacking a vigil by about 100 people outside the offices of the United Nations in Tehran.

The capital had been largely calm until then after state television reported that at least 13 people had been killed as police and pro-government militia clashed with protesters the previous day."I as one of the mourners invite my dear people to self-restraint. The nation belongs to you," Mousavi said.

"The revolution is your legacy. To protest against lies and fraud is your right. Be hopeful that you will get your right and do not allow others who want to provoke your anger ... to prevail."

'Terrorist groups'

Television reports on Sunday blamed rioters and "terrorist groups" for the previous day's violence, saying two petrol stations and a mosque had been set alight, and a military outpost attacked.

About 3,000 opposition protesters had tried on Saturday to enter the area, undaunted by a warning from Ayatollah Ali Khamenei, Iran's supreme leader, not to continue demonstrations against Ahmadinejad's re-election.

Security forces responded with live rounds, batons and tear gas, while protesters fought back with stones and set fires in the streets.

Mohsen Makhmalbaf, the foreign spokesman for Mousavi, defended the actions of the protesters.

"These people are in the streets to say 'We don't want atomic bombs, we want democracy'," he told Al Jazeera from Paris.

Witnesses said that dozens of people were hospitalised after being beaten by police and the pro-government Basiji militia.

The New-York based International Campaign for Human Rights in Iran said that scores of injured demonstrators had been arrested as they sought medical treatment.

It said doctors in Tehran's hospitals had been ordered to report injuries to the authorities, and that some seriously wounded protesters had sought refuge at foreign embassies in a bid to evade arrest.

"The arrest of citizens seeking care for wounds suffered at the hands of security forces when they attempted to exercise rights guaranteed under their own constitution and international law is deplorable," Hadi Ghaemi, the spokesman for the campaign, said.

Reports on community-driven websites such as Twitter claimed that a number of protesters were killed by police.

One video uploaded to YouTube on Saturday alleged to show a teenage girl - referred to as Neda on social networking sites - dying on the street after being shot by police.

British blamed

As the clashes took place, local news agencies said that a suspected suicide bomber blew himself up outside the shrine of Ayatollah Ruhollah Khomeini, the leader of the Islamic revolution in 1979, injuring at least two people.

Government-run television said members of the exiled Mujahedeen-e-Khalq (MEK)opposition group were arrested in connection with Saturday's unrest.

The report claimed they were acting under British influence.

Al Jazeera was unable to verify the authenticity of the video or other reports of violence due to an official ban on independent reporting in the capital.

State broadcaster IRINN said 100 people were injured Saturday's violence.

Amnesty International (AI) cautioned that it was "perilously hard" to verify the casualty figures.

"The climate of fear has cast a shadow over the whole situation," Drewery Dyke, AI's chief Iran researcher, said.

"In the 10 years I've been following this country, I've never felt more at sea than I do now. It's just cut off."

Scholars critical

Grand Ayatollah Hossein Ali Montazeri, who was key figure in the Islamic revolution in 1979 but is now under house arrest after falling out with the current religious leadership, criticised the crackdown and called for three days of mourning for the dead.

"Resisting people's demand is religiously prohibited," he said in a statement on his website.

Mohammad Khatami, a former president, also spoke out, criticising the decision to allow the Guardian Council, the country's top legislative body, to rule on the legitimacy of the vote.

Five members of Rafsanjani's family were arrested after Saturday's protests [EPA]
"Referring the dispute to a body which has not been impartial regarding the vote, is not a solution," he said in a statement reported on the Mehr news agency.

The Guardian Council has offered a partial recount of ballots in order to appease protesters, but Makhmalbaf told Al Jazeera: "We want [a] revote, not [a] recount."

"We ask all people around the world not to confirm Ahmadinejad as our president," he said.

Five family members of Ayatollah Hashemi Rafsanjani, another prominent Iranian politician and former president, were reported to have been arrested on Saturday, including his eldest daughter, for taking part in an illegal protest.

Last week, state television showed images of Faezeh Hashemi speaking to hundreds of Mousavi supporters.

After her appearance, pro-Ahmadinejad students gathered outside the Tehran prosecutor's office and accused her of treason, state radio reported.

All apart from his daughter were later released.

Rafsanjani heads two very powerful groups in Iran: the Assembly of Experts, which can elect and dismiss the supreme leader, and the Expediency Council, a body that arbitrates disputes between parliament and the unelected Guardian Council.

Source: Al Jazeera and agencies

NBK raises Boubyan Bank stake

2009-06-21T16:27:00.000-07:00

by Rania El Gamal
National Bank of Kuwait (NBK) raised its stake in Boubyan Bank to more than 12 percent, becoming the third-largest shareholder in the Islamic lender to help boost its Sharia-compliant business.

NBK, the country's biggest bank by assets, increased its stake to 12.43 percent from 10.16 percent, according to data on the Kuwait Stock Exchange on Thursday.

Islamic banking is one of the world's fastest growing financial sectors, rising 15-20 percent a year, according to industry estimates.
Kuwait Investment Authority, the country's sovereign wealth fund, is the largest shareholder in Boubyan with a 20 percent stake while Commercial Bank of Kuwait (CBK) owns 19.19 percent, the data showed.

"We've been buying those shares through the Kuwaiti bourse," a spokesman for NBK said.

NBK has said it has central bank approval to buy up to 40 percent in Boubyan. The current approval period ends on June 21, according to a previous statement by NBK. It was not immediately clear if this approval could be renewed.

On Sunday, NBK said it reached a deal with CBK to buy its stake of about 19 percent in the Islamic lender for around KD120 million ($417 million) as it wants to tap growth in Islamic banking.

But the deal was halted after Investment Dar said it had won a court ruling against CBK to suspend the sale of Boubyan shares.

Dar, the Islamic finance firm that owns half of British luxury car maker Aston Martin, filed a complaint last month against CBK over a 19.2 percent stake in Boubyan.

Dar sold the stake to CBK in December with the right to buy it back, as it sought financing and to restructure its debt. But CBK has since said that Dar and its related firms have lost their right to buy back the stake.

A Kuwaiti court has suspended selling any shares in Boubyan currently under CBK's name until it settles the dispute between CBK and Investment Dar and rules in another lawsuit, for which the hearing is set for September 9.

Boubyan Bank, which complies with Islam's ban on interest, competes with larger rival Kuwait Finance House and Kuwait International Bank.

In February, Boubyan faced a wave of resignations with all of its board members stepping down without giving a reason.

Source : Reuters

Israel to pump $250m into settlements

2009-06-21T16:03:00.000-07:00

Mohammed Mar’i
RAMALLAH, West Bank: The Israeli government has allocated one billion shekel ($ 250 million) for West Bank Jewish settlements over the next two years, Israeli Army Radio reported yesterday.

The report said that the 2009-2010 budget, which passed its first reading in the Knesset last week, calls for $125 million for various security expenses and most of the remainder for housing construction.

The $159 billion budget must pass two more readings in the Knesset.

Palestinian Foreign Minister Riyadh Al-Malki said Israeli settlement activities in the West Bank are the main obstacle to peace talks between the Palestinians and Israel. “Everyone knows that settlement activities are the basic obstacle and the Israelis are trying to change the facts on the ground,” Al-Malki said.

Israeli Prime Minister Benjamin Netanyahu, who leads an expanded coalition of extremist parties, has rejected US demands to freeze settlement activities in the Palestinian territories, including so-called “natural growth”. More than 280,000 Jewish occupiers live in the occupied territories.

Peace talks have been stalled since Israel launched a military offensive in the Gaza Strip in January.

The installation of Netanyahu’s government early in April contributed to the freezing of the peace process.

Source : Arab News

Israeli air strikes target Gaza tunnels: army

2009-06-19T16:11:00.000-07:00

Jerusalem - Israeli warplanes staged two overnight attacks against contraband tunnels under border between the Gaza Strip and Egypt, an Israeli military spokeswoman said early Sunday.

The raids followed a rocket being fired from the Gaza Strip into Israel, which caused no injuries or damage, the spokeswoman said.

Israeli warplanes have regularly targeted the tunnels, which have become vital to the Gaza economy since Israel and Egypt sealed the Palestinian territory off from all but vital aid after the Islamist Hamas movement seized power there nearly two years ago.

Israel has accused Hamas of using the tunnels to smuggle in weapons, while tunnel operators insist the vast majority of the trade is in food, fuel and household appliances.

Source : Antara News/AFP

Kuwait to deport 100,000 expats - paper

2009-06-19T16:01:00.000-07:00

by Neeraj Gangal

Kuwait is likely to arrest and accordingly deport close to 100,000 expatriates for being registered with bogus companies, according to a report.

Highـranking security sources in the state told the local Al Watan daily: "A relatively large number of private firms have been issued commercial licenses but do not actually have offices or business activities in the country."

The sources added that it was likely that the owners of the licenses brought expat manpower into the oil exporting country in return for money, without giving them the promised jobs in return.
According to the daily, informed sources said that Kuwait's cabinet has assigned a taskforce to bring to book all those companies engaged in the malpractice.

Al Watan said that the sources suggested that a large section of such manpower engages in menial jobs to make their ends meet, while the majority of them are jobless.

In a related development, Al Watan reported that the minister of public works and minister of state for municipal affairs Dr Fadhil Safar on Thursday affirmed the government''s determination in preventing single expatriate workers from living in private residential areas.

According to the daily, "The minister also expressed shock over the fact that some private companies were found operating within private residential areas without obtaining a clearance from the relevant municipal authorities, noting that the ministry does not condone such malpractices in residential areas."

Early last year, a report revealed that expatriates made up 69% of Kuwait’s total population.

Khamenei: Vote protests must end

2009-06-19T15:39:00.000-07:00

Ayatollah Ali Khamenei, Iran's supreme leader, has backed the outcome of the country's presidential elections and warned protests against it must stop.

"Street actions are being done to put pressure on leaders, but we will not bow in front of them," he said in a sermon during Friday prayers at Tehran University.

"I want to tell everyone these [protests] must finish."

He said that any doubts concerning the re-election of Mahmoud Ahmadinejad as the president after the June 12 election would be investigated through legal channels.

If the supporters of defeated candidates fail to halt the protests "they will be responsible for its consequences, and consequences of any chaos," he said.

The speech was a rare public address by Khamenei, who usually only speaks in public at the end of Ramadan and the anniversary of the Iranian revolution, which brought the theocracy to power.

'Enough is enough'

"Candidates were put forward into public eye, everyone could judge for themselves ... they have identified the person they wanted," he said, adding the result was an "absolute and definitive victory".

"The Islamic establishment will never manipulate people's votes and commit treason ... the legal structures and electoral regulations of this country do not allow vote rigging," he said in his first public address on the issue since the election.

Farzad Agha, an Iranian analyst, told Al Jazeera: "This clearly is a threat to the demonstrators and supporters of the opposition candidates ... He is saying, 'if you continue, we will deal with you'."

Robert Fisk, a correspondent with the UK-based Independent newspaper, said Khamenei's message to the demonstrators seemed to be "enough is enough".

"He clearly wants them to obey him and go home," Fisk said.

Khamenei called for calm following days of protests over the election results.

"When you have peace of mind and soul you can decide wisely ... Today our society is in need of peace and tranquility," he said.

"Since the beginning of the Islamic revolution 30 years ago ... various incidents [occurred], some of which could have toppled the establishment, which could have brought turmoil to the nation, as you have seen in other nations.

"High objectives"

"But in this nation which is moving firmly ... this ship did not find any agitation in stormy sea.

"I do believe with the help of God this nation will reach all of its high objectives."

Despite some protesters saying that a march was planned from Tehran's Revolution Square to Freedom Square on Saturday, Mir Hossein Mousavi, a defeated presidential candidate, said there was no demonstration scheduled in the coming days.

"Mousavi has no plans to hold a rally tomorrow or the day after tomorrow and if he decides to hold a rally it will be announced on his website," an unnamed ally told the Reuters news agency.

Khamenei said that the "great accomplishment" of the 85 per cent turnout at the polls conveyed the legitimacy of the country's leadership and "people's solidarity with their establishment".

"If people do not feel free they will not attend the voting stations, trusting the Islamic establishment was evident in this vote."

Khamenei said that foreign media were trying to say that the poll was a fight between inside and outside the establishment, which he denied, saying, "It is only differences of opinion within the establishment."

"The enemies [of Iran] know that without confidence there would be low turnout. When there is low turnout then the legitimacy would be in doubt. That is what the enemy wants."

He said that Iran's enemies had made allegations that the elections were rigged to harm the ruling system.

"The enemies [of Iran] are targeting the Islamic establishment's legitimacy by questioning the election and its authenticity before and after [the vote]," Khamenei said.

Post-election unrest

Thousands of people massed outside the packed hall and cheered Khamenei.

Al Jazeera's Alireza Ronaghi, reporting from Tehran, said that the huge crowds at Tehran University "were his staunchest supporters".

"They were smiling most of the time and also cried when he said he was willing to give his life for the Islamic revolution.

"They chanted slogans several times, interrupting the supreme leader's speech, and in some cases he had to stop them and ask them to listen," he said.

Khamenei has the final say in all of Iran's affairs under the constitution, and thus has the authority to annul elections and establish new polls.

The sermon was delivered amid reports of a developing split between Khamenei and Ayatollah Hashemi Rafsanjani, who heads the powerful Assembly of Experts, which, in theory, has the constitutional right to replace the supreme leader.

Iran has been in a state of political unrest since Ahmadinejad was declared the winner.

Opposition figures, led by Ahmadinejad's main challenger Mir Hossein Mousavi, have said that the vote was rigged and hundreds of thousands of Iranians have held daily street protests since the poll results were announced.

Amnesty International, a UK-based human rights group, said on Friday that it believed 15 people had been killed as the protests have spilled over into violence, compared with just seven deaths reported on Iranian state radio.

The protests have continued despite the Guardian Council - a body of top Iranian clerics - saying it was investigating 646 complaints of poll violations submitted by Mousavi and two other defeated presidential candidates.

The council, which oversees elections, has also invited the trio of defeated candidates to set out their grievances on Saturday, with a decision about any possible recount of the vote expected on Sunday.

Source:

Al Jazeera and agencies

Emerging economies want more say

2009-06-18T16:34:00.000-07:00

The world's biggest emerging markets have called for a bigger say in the global financial system at their first summit.

The leaders of Brazil, Russia, India and China (Bric) called for a "more diversified" currency system, but backed away from Russian calls for a new "supra-national" currency to replace the dollar.

Dmitry Medvedev, the Russian president, said the "historic" meeting in the Russian city of Yekaterinburg "must create the conditions for a fairer world order".

Medvedev read out a final statement alongside presidents Hu Jintao of China and Luiz Inacio Lula da Silva of Brazil, as well as Manmohan Singh, the Indian prime minister.

"The emerging and developing economies must have a greater voice and representation in international financial institutions," a joint communique said.

"We also believe that there is a strong need for a stable, predictable and more diversified international monetary system," it said.

Dollar pressure

Medvedev's comments that "the existing set of reserve currencies, including the US dollar, have failed to perform their functions" contributed to the dollar's slide across the board on Tuesday.

China, which holds nearly $2 trillion in foreign currency reserves, suggested in March that the dollar could be replaced as the world's main reserve currency, but it was silent on Tuesday, suggesting that there is little unity on any potential challenge to the dollar.

And Medvedev's chief economic aide, Arkady Dvorkovich, emphasised that Moscow did not want to see a sudden plunge in the dollar's value.

"There is an understanding that the last thing we need now is turmoil on financial markets," Dvorkovich said.

"No one wants to ruin the dollar, including us."

The Bric term was coined by Goldman Sachs economist Jim O'Neill in 2001 to describe the growing power of emerging market economies.

Tuesday's summit was an attempt to give the grouping a bigger political voice. The four nations account for 15 per cent of the $60.7 trillion global economy.

Goldman Sachs has predicted that in 20 years time they could together dwarf the G7 group of industrial nations and that China will overtake the US as world's largest economy.
Source: Agencies

Shuaa Capital seeks to enter sukuk market

2009-06-18T16:24:00.000-07:00

>by Asma Alsharif
Shuaa Capital plans to structure and sell the Islamic bond issues by Saudi firms after the launch last week of a bond market in the kingdom, the head of its Saudi unit said.

"We are working hard to be active players in this market," said Omar al-Jaroudi, the chief executive of Shuaa's Saudi affiliate.

"We are seeking mandates and going after those companies that require financing that do not wish to open their equity base but are willing to open bonds." he said.
Saudi Arabia launched on Saturday a new market for Islamic bonds, or sukuk, diversifying Saudi companies' financing options amid a global financial crisis that has caused banks to be more cautious towards lending.

"Not only there is demand for sukuk, not only there is an interest in sukuk issuance, but there is also support from regulators to support this market," said Jaroudi.

The governor of the Saudi central bank Muhammad al-Jasser said in February that commercial banks and firms seeking financing should tap into the debt market with bond issues.
Source : Reuters

US govt unfairly targets Muslim charities: ACLU

2009-06-18T16:06:00.000-07:00

By Barbara Ferguson

WASHINGTON: Harsh measures meant to combat terrorist financing are violating Muslim charities' rights by discouraging Muslims from the charitable giving of zakah, the American Civil

Liberties Union said in a report this week.

An expansion of laws and policies since 2001 has given the US Treasury Department virtually unchecked authority to designate charities as terrorist organizations and freeze assets without adequate safeguards to protect against mistakes or abuse, the study concluded.

But Federal prosecutors say some of these charities have served as fronts for terror-financing operations.

According to the ACLU report, government efforts to stop terror financing are too vague and are often applied unfairly to Muslim charity organizations.

It says the statutes are overly broad and enforced in a discriminatory manner, and permits a lack of due process.

This has resulted in starving Islamic charities of money and impeded Muslims' ability to fulfill zakah (one of the five pillars of Islam, a religious requirement to make charitable donations) in this manner.

The report is based on interviews with more than 100 Muslim community leaders as well as experts on antiterrorism laws and regulations. Though it gives no estimate of the decline in donations to Muslim groups, it says a total of nine Islamic charities have closed as a result of government action against them since the Sept. 11 attacks.

That action ranges, it says, from declaring a group to be under investigation to designating it a terrorist organization and freezing its assets.

The author of the report, Jennifer Turner, told reporters that US Muslims are being denied an important part of their religious practice by policies that target their charities. She also said such policies are counterproductive. While it is possible to give zakah informally, Islamic tradition recommends the money be amassed through charitable organizations that can do more effective charitable work collectively, such as building a hospital.

"They undermine America's reputation in the Muslim world, they alienate American Muslims who are key allies in the war on terror financing, and they kill legitimate humanitarian aid in parts of the world where charities' good works could be most effective in winning hearts and minds," Turner said.

Advocates for Muslim donors and organizations say the rules governing charitable giving are opaque or poorly defined. Donors could, for instance, find themselves in trouble for past gifts to an organization newly designated a terrorist group.

The leaders of one former charity, Holy Land Foundation for Relief and Development, were convicted in November of funneling more than $12 million to the Palestinian militant group Hamas. The US has designated Hamas a terrorist organization, making contributions to it illegal. Two founding members of Holy Land, once the nation's largest Muslim charity, were each sentenced last month to 65 years in prison.

Paradoxically, Access and one of the largest mainstream Muslim-American charities-Islamic Relief USA-say they have benefited from aggressive enforcement of antiterrorism laws.

Islamic Relief USA, an aid organization with affiliates around the globe, has seen annual donations rise to about $25 million last year from roughly $7 million at the time of the Sept. 11 attacks, with an additional $50 million in in-kind gifts, the group's spokesman, Mostafa Mahboob, told reporters.

But US government agents and prosecutors view the ACLU allegations with skepticism. Jim Jacks served as the lead prosecutor in the federal government's case against the Holy Land Foundation in Dallas last year. He read the ACLU report and found it wanting.

"There is essentially nothing in there that presents the evidence from the government's point of view," Jacks said. "We were never, obviously, contacted or sought to be contacted by the author, so, in that sense, you have to question the bias of the report and its validity."

Juan Zarate, a former Treasury Department official who investigated terrorist financing, told reporters that the tension between religious liberties and national security arises because of the way many terrorist organizations work. Groups like Hamas, Hezbollah or Palestinian Islamic Jihad actually do run hospitals and feed orphans and widows.

"They do have these social mechanisms that endear them to the local population, that give them resources," Zarate said. That enables them "to enlist the sons and daughters of those helped to then strap on bombs and suicide belts to carry out the terrorist agenda."

The ACLU report outlines clear measures the Obama administration and Congress should take to ensure American Muslims can exercise their religion while protecting charities from mistaken targeting and abuse, and simultaneously promoting national security and humanitarian aid.

In his speech in Cairo this month, President Barack Obama addressed the oversight of Muslim charities, saying the "rules on charitable giving have made it harder for Muslims to fulfill their religious obligation. That's why I'm committed to working with American Muslims to ensure that they can fulfill zakah."

Civil libertarians and Muslim advocates say the Obama administration has yet to take steps to address the problems.

The report is available at: http://www.aclu.org/intlhumanrights/nationalsecurity/39849pub20090616.html.

Source : Arab News

Trustee seeks clarity on sukuk status

2009-06-14T15:52:00.000-07:00

MANAMA: The trustee of a $650 million sukuk issued by Saudi's Saad group said yesterday it had requested clarity from the group over the bond's status. Citicorp Trustee Company Limited said in a note to holders of the Golden Belt 1 Sukuk Company, a special purpose vehicle registered in Bahrain, that it had requested Saad to provide it with funds to secure against liabilities.

Saad Group is undergoing debt restructuring after it said last month it ran into unspecified difficulties and parts of it were downgraded by Moody's.

The sukuk, the next coupon payment for which is due in November, last traded at 51.75 cents to the dollar, according to ThomsonReuters data, a heavy discount as investors priced in greater risk.

Saad has sold off parts of its international investments, including a stake in UK construction company Berkeley Group. Its billionaire chairman Maan Al Sanea, whose bank accounts have been frozen by the Saudi Monetary Agency, owns a stake in HSBC.

Analysts at Bahrain-based SICO Investment Bank said yesterday they saw little chances for those who have entered into unsecured lending to Saad Group to recover their funds from the proceeds of those sales.

"We believe that most of the recovery from the offshore liquid assets could be used for paying back secured loans leaving unsecured exposures at a higher risk," they said. The legal form of sukuk structures in the Gulf region is being tested by insolvencies for the first time.

Netanyahu endorses Palestinian state

2009-06-14T15:42:00.000-07:00

Israeli Prime Minister Benjamin Netanyahu on Sunday endorsed for the first time the creation of a Palestinian state, provided it was demilitarised, after weeks of pressure from Washington.

zoom

But he also said the Palestinians must recognise the Jewish character of Israel, a condition Palestinian president Mahmud Abbas has long rejected, and ruled out a halt to all settlement activity as demanded by the United States.

"If the Palestinians recognise Israel as the state of the Jewish people, then we arrive at a solution based on a demilitarised Palestinian state alongside Israel," Netanyahu said.

"The Palestinian territory will be without arms, will not control air space, will not be able to have arms enter, without the possibility of striking alliances with Iran or (the Lebanese Shiite militia) Hezbollah."
Netanyahu also ruled out a complete stop to settlement activity in the occupied West Bank - which the Palestinians have said is a condition for relaunching negotiations - and said Palestinian refugees would not be resettled inside Israel's borders.

"The heart of the (Middle East) conflict has always been the Arabs' refusal to accept the existence of the Jewish state," Netanyahu said. "The withdrawals that Israel has carried out in the past have not changed this reality."

The Palestinians recognised Israel as a state in 1993 as part of the Oslo accords but have refused to recognise it as "Jewish" as doing so would effectively mean giving up the right of return for Palestinian refugees, a key Palestinian demand since Israel was created in 1948.

The Palestinians slammed the speech, saying it was aimed at sabotaging peace efforts.

"This speech torpedoes all peace initiatives in the region," Abbas spokesman Nabil Abu Rudeina told AFP.

"It hobbles all efforts to save the peace process, in a clear defiance of the US administration."

The speech was billed as a response to Obama's address to the Muslim world 10 days ago in which he reiterated Washington's "unbreakable" bond with Israel but also said the Palestinian situation was "intolerable."

Obama has vowed to aggressively pursue a two-state solution and in recent weeks Washington had ramped up pressure on Israel's new government to endorse the idea of a Palestinian state and halt all settlement activity.

The blunt words to Israel from Obama's administration have raised fears in the Jewish state that main ally Washington may ease its support as it tries to improve its relations with the Muslim world.

It has also put Netanyahu in a difficult position, as his heavily right-wing 10-week-old government could collapse if he gives in to too many of Washington's demands.

"It was a brilliant speech but it had one miserable phrase that laid the cornerstone for the creation of a state of Palestine," Likud MP Danny Danon said following the address.

"I will do everything in my power in parliament to prevent this from happening."

Former US president Jimmy Carter told the Israeli Haaretz daily on Sunday that Israel risked a head-on collision with Washington over the settlements.

But a Western diplomat who spoke on condition of anonymity said the speech "is certainly encouraging and gives us a lot of work with."

"I think everyone understands Israel's concerns and the demand for a demilitarised (Palestinian) state has always been part of the agenda."

Washington provides Israel with 2.4 billion dollars of annual military aid as well as diplomatic support, making the United States its most important ally.

Israel and the Palestinians relaunched their negotiations at a US conference in November 2007, but the talks made little progress and were suspended during Israel's blistering war on Gaza in December and January.

Netanyahu also responded to the elections in Iran, saying the "biggest threat to Israel, the Middle East and the entire world is the crossing of a nuclear weapon with radical Islam."

"During my next trips, I will work in particular toward an international coalition against the nuclear arming of Iran," he said.

Israel, the region's sole if undeclared nuclear power, has accused Iran of racing to develop atomic weapons under the guise of a civilian nuclear programme, allegations vehemently denied by Tehran.
Source : AFP

Landslide win for Ahmadinejad

2009-06-14T15:28:00.000-07:00

TEHRAN: Incumbent Mahmoud Ahmadinejad was yesterday declared winner by a landslide in Iran’s presidential vote, triggering riots by opposition supporters and furious complaints of cheating from his defeated rivals.

Ahmadinejad went on television to declare the election a “great victory,” even as baton-wielding police clashed with protesters in the streets of the capital in unrest not seen for a decade.

Thousands of supporters of main challenger Mir Hossein Mousavi swept through Tehran shouting “Down with the Dictator” after final results showed Ahmadinejad winning almost 62.6 percent of the vote.

Moderate ex-Premier Mousavi cried foul over election irregularities and warned the outcome of the vote could lead to “tyranny,” as some of his supporters were beaten by riot police.

Ahmadinejad rejected the allegations. “The election was completely free ... and it is a great victory,” he said in his television address.

The interior minister said Mousavi had won less than 33.75 percent of the vote, giving Ahmadinejad another four-year term in a result that dashed Western hopes of change and set the scene for a possible domestic power struggle.

Iran’s all-powerful supreme leader Ayatollah Ali Khamenei welcomed Ahmadinejad’s victory and urged the country to unite behind him after the most heated election campaign since the 1979 revolution.

Khamenei described Ahmadinejad’s victory as a “feast.” “The enemies may want to spoil the sweetness of this event ... with some kind of ill-intentioned provocations,” he said. “The president elect is the president of the entire Iranian nation and ... all should support and help him.”

Mousavi protested at what he described as “numerous and blatant irregularities” in the vote which officials said attracted a record turnout of around 85 percent of the 46 million electorate.

“No one can imagine such rigging, with the world watching, from a government which holds commitment to Shariah-based justice as one of its basic pillars,” said Mousavi in a letter posted on his campaign website.

“What we have seen from dishonest (election) officials will result in shaking the pillars of the Islamic Republic system, and a dominance of lying and tyranny,” he said in a separate statement.

In the heart of Tehran, thousands of Mousavi supporters voiced their disbelief and frustration at the results, with some throwing stones at police who struck back with batons.

Angry crowds first emerged near Mousavi’s campaign office in central Tehran, where protesters were hit with sticks as riot police on motorbikes moved in to break up the gathering. “They have ruined the country and they want to ruin it more over the next four years,” shouted an irate mob outside Mousavi’s office.

Plumes of dark smoke streaked over the city, as burning barricades of tires and garbage bins glowed orange in the streets. Protesters also torched an empty bus, engulfing it in flames on a Tehran street. An Associated Press photographer saw a plainclothes security official beating a woman with his truncheon.

There were no immediate reports of violence elsewhere in the county.

Reformist candidate Mehdi Karroubi, who came a distant fourth with less than one percent of the vote after ex-Revolutionary Guards chief Mohsen Rezai, also declared the result “illegitimate and unacceptable.”

The White House said it was monitoring the reports of irregularities, while Canadian Foreign Minister Lawrence Cannon said he was “deeply concerned” about the allegations. US Secretary of State Hillary Clinton said she hoped the result of the election “reflects the genuine will and desire of the Iranian people.” In Moscow, the chairman of the Duma (Parliament) Committee on International Affairs Konstantin Kosachev hoped for more “understanding and wisdom” from

Ahmadinejad in the new term.

The Hamas movement praised the results, saying they proved the “success” of the incumbent government and were a victory for Iranian democracy. Venezuelan President Hugo Chavez telephoned Ahmadinejad to congratulate him.

The victory “represents the feeling and commitment of the Iranian people to building a new world,” Chavez said in a statement.

Source : Agencies

Iran's presidential candidates

2009-06-13T15:24:00.000-07:00

On Friday, June 12, Iran holds its tenth presidential election since the revolution that created the Islamic Republic.

Following a vetting process by the Guardian Council - a powerful legislative oversight body consisting of six theologians appointed by the supreme leader and six jurists nominated by the judiciary and approved by parliament - four candidates have been deemed eligible to stand.

To win the presidency, a candidate must receive more than 50 per cent of the total vote. Otherwise, the contest will go to a run-off vote usually held the following week.

Mahmoud Ahmadinejad, the current president, is running against two reformist candidates and one fellow conservative.

For the first time since the creation of the Islamic Republic in 1981, the race for the presidency is expected to be closely run, with Mir Hossein Mousavi, the frontrunner reformist candidate, gathering a groundswell of support.

Mahmoud Ahmadinejad

The incumbent 52-year-old is seeking a second term as Iran's president.

Prior to his victory four years ago, Ahmadinejad was mayor of Tehran as well as a member of Iran's influential Revolutionary Guards.

He is generally viewed as religiously and politically conservative.

His modest background is one factor behind his appeal with the masses, whom he has pledged to reward with fairer distribution of the country's vast oil wealth.

Ahmadinejad has said he favours dialogue with the US, as long as it is based on mutual respect.

Mir Hossein Mousavi

The leading candidate running against President Ahmadinjead is 67-year-old Mir Hossein Mousavi.

He is best known as the country's last serving prime minister during the Iran-Iraq war in the 1980s. During the war he pioneered the country's food rationing and distribution system.

Since then, he has largely been out of politics, heading Iran's Academy of Art which is responsible for safeguarding the country's national heritage.

Mousavi played a key role in the Islamic Revolution and had close ties with the late Ayatollah Khomeini.

As part of his return to politics in this election, he has pledged to change Iran's image abroad.

However, he believes Iran should refuse to back down on its nuclear programme and maintains the country's right to nuclear technology.

In another of his campaign pledges, he has committed to reviewing discriminatory laws against women and stopping the operation of so-called morality policies.

Mehdi Karroubi

The 72-year-old is a mid-ranking cleric.

He is considered a reformist and heads Iran's National Trust Party, as well as having previously been parliamentary speaker.

Karroubi has been one of the most outspoken critics of President Ahmadinejad's policies, and is a well-known figure on Iran's political scene. He has already been endorsed by several high ranking figures.

His election campaign is based on the slogan "change", leading some to call Karroubi the "reform sheikh".

He has pledged to nationalise the country's vast oil profits, and to redistribute the money to every Iranian over the age of 18 through a system of stocks.

He has also pledged to protect civil rights and improve the status of women in Iran.

The cleric also says he favours dialogue with the international community.

Mohsen Rezai

The 55-year-old is the current secretary of the Expediency Council, a major body that arbitrates on disputed legislation, and the only candidate running against Ahmadinejad who is also considered to be a conservative.

Rezai is the former head of the Revolutionary Guards, one of the most powerful paramilitary organisations in Iran.

He is currently on the Interpol wanted list, for suspected links to the 1994 bombing of a Jewish cultural centre in Buenos Aires. He is banned from entering the US and the EU.

Rezai holds a doctorate in economics and says, if elected, his priority will be to "revolutionise" the economy.

One of his main pledges is to greatly increase the role of the private sector and to guarantee an increase in foreign investment.

Rezai has also been critical of Ahmadinejad's comments about the holocaust.

He says he has formulated a step-by-step plan to improve relations with the US, and that he also believes Iran should improve its strategic role in the Middle East by closing ranks with its regional neighbours.

Source:

Agencies

Aceh receives $12.88m projects in quake relief

2009-06-13T15:07:00.000-07:00

By Ghazanfar Ali Khan

RIYADH: Saudi Arabia has handed over post-tsunami and earthquake reconstruction projects worth $12.88 million to the government of Aceh, a special territory of Indonesia, where more than 226,000 people were killed following an Indian Ocean earthquake a few years back.

The projects include two Saudi-funded orphanages and education centers in Aceh region.

“The Kingdom has disbursed many forms of assistance, both during the time of the crisis and also during the post-quake rehabilitation and reconstruction period,” said Saudi Ambassador to Indonesia Abdulrahman Muhammad Amin Al-Khayyath, in a press statement, yesterday.

The orphanages and the educational centers are situated on the outskirts of Banda Aceh.

“Some 450 houses and supporting facilities worth $6.88 million were also handed over,” said Al-Khayyath.

He said that the Kingdom had completed $45 million worth of projects, including the restoration of the iconic Baiturrahman Mosque situated in the center of Banda Aceh, the first place in Southeast Asia where Islam was introduced.

The diplomat said that the ongoing Saudi-funded projects include a medical center and the development of housing units at Syiah Kuala University, and Syariah Court residence, including public facilities and mosques in Aceh.

Speaking on this occasion, an Indonesian Embassy spokesman said that the two new orphanages have been named Makkah and Madinah. The embassy has expressed its deepest gratitude for the assistance provided by Saudi Arabia, which had been instrumental in reconstruction efforts for Aceh.

“It is obvious that providing basic needs for the victims, restoring the government and building facilities and infrastructure, supports the acceleration of Aceh’s development,” said the embassy’s spokesman.

Aceh was the closest point of land to the epicenter of the massive 2005 Indian Ocean earthquake, which triggered a tsunami in that region.

Saudi Arabian Red Crescent Society (SRCS) has built four community health centers in Aceh region. The health center projects were fully funded by the Kingdom, but the SRCS was asked to implement the projects.

Source : Arab News

Primary results say Ahmadinejad is winner of elections

2009-06-12T16:08:00.000-07:00

Tehran, June 13, – Primary results of the 10th Presidential Elections show that Mahmoud Ahmadinejad has got the majority of the votes.

According to the head of Elections Headquarters Kamran Daneshjoo, Ahmadinejad has recieved 69.04 percent of the counted votes until 23:50 hours local time.
Daneshjoo said Mir Hossein Mossavi has got 28.42 percent, Mohsen Rezaee 1.62 percent and Mehdi Karrobi 0.9 percent of the votes.

Source : IRNA

UAE, Saudi among world's top website censors - project

2009-06-12T15:53:00.000-07:00

by Neeraj Gangal

The UAE ranks high among countries that have blocked most websites, a recent report has revealed.

Internet users in the country reported the eleventh highest rate of blocked websites from among the countries in the world, according to the Herdict project.

Herdict is a project of the Berkman Center for Internet & Society at Harvard University. It seeks to gain insight into what users around the world are experiencing in terms of web accessibility. As on June 12, 11am UAE time, UAE users reported that 509 different webpages were flagged as “inaccessible”, the Herdict Web project statistics revealed.

China is the most reported country when it comes to website censorship, according to the report. From among the Gulf countries, Saudi Arabia ranked at No.4. and Bahrain at No.6 in the top 10 slots.

A noteworthy aspect of the report is that the Western countries were equally vigilant about restricting websites. Germany was ranked at No.2, US at No.3, France at No.7, Australia at No.8 and the UK at No.9.

According to the www.herdict.org website, Herdict is a portmanteau of 'herd' and 'verdict' and seeks to show the verdict of the users (the herd).
Speaking to the UAE’s The National newspaper, Jillian York, the social media manager for the project said that the websites that were found by UAE users to have been blocked ranged from pornography and dating websites to religious pages.

“But then, you also get some sites where you’ve got to wonder why they’re blocked – like Flickr.”

Top 10 countries that reported the most-restricted sites as on June 12, 11am, UAE time:

1. China (4,969)
2. Germany (6,972)
3. United States (5,162)
4. Saudi Arabia (2,364)
5. Iran (990)
6. Bahrain (1,004)
7. France (1,530)
8. Australia (911)
9. United Kingdom (1,237)
10. Philippines (909)

Jerusalem plan nixed over too much zoning for Arabs

2009-06-12T15:48:00.000-07:00

By Mohammed Mar’i

RAMALLAH: Israeli Interior Minister Eli Yishai has instructed his ministry staff to nix a master plan for Jerusalem on the grounds that it allocates too much territory for Palestinian construction, the daily Haaretz reported yesterday.

In recent days Yishai instructed Ruth Yosef, tapped as the ministry’s new supervisor for Jerusalem, to shelve the program - the fruit of several years of labor by dozens of Israeli architects.

According to the report, the master plan was intended to outline the city’s development over the next few decades and to remedy a situation in which, since 1959, the controversial city has not been developed according to a comprehensive agenda.

The plan emphasizes, among other things, increased building in the eastern part of the city. It calls for the construction of 13,500 more housing units for the city’s Palestinian population, particularly in the neighborhoods of Al-Tour, Beit Hanina, Shoafat and Jabal Al-Mukkaber, and for developing those neighborhoods’ infrastructure.

The outline was submitted to an Interior Ministry committee for approval, but city officials discovered this week that Yishai had ordered that the program not be authorized, lest significant portions of the eastern city areas be designated for Palestinian construction. Instead, the interior minister threw his support behind another program, drafted in 2000, which set aside less territory for new construction in Palestinian neighborhoods.

City officials expressed frustration at Yishai’s decision. They said the Interior Ministry also recently canceled a specific program allowing the construction of a new Arab neighborhood along the city’s southern outskirts, in an area known as the “Gates of Bethlehem.”

Source : Arab News

Ahmadinejad vows to expedite country's development

2009-06-07T16:16:00.000-07:00

Tabriz, East Azarbaijan, June 7, IRNA – President Mahmoud Ahmadinejad said on Sunday “We are to expedite the country's development.”

The president made the remark during his visit to Tabriz, East Azarbaijan, where thousands of enthusiastic people welcomed him and his entourage.

“We believe reconstruction ear in Iran should be based on justice and fair distribution of wealth and facilities among our people,” he said.

The Iranian nation is determined to seriously counter bullying powers, pointed out the president.

Referring to the remarks made by the US president in Cario, President Ahmadinejad said due to heroic resistance of the Iranian nation, the US president has sincerely declared that they need Iran’s assistance to cope with regional and global developments.

“If I am elected for the second term in office, I will never stop dealing with the enemies of the Iranian nation,” he said.

Commending the role of Azari people, he said the people in Azarbaijan have always played a leading role in major development taking place in the past such as tobacco and constitutional movement s as well as nationalizing of Iranian oil industry.

Saudi urges Obama to impose Mideast solution - paper

2009-06-07T16:10:00.000-07:00

by Ulf Laessing

King Abdullah of Saudi Arabia has urged US President Barack Obama to impose a solution on the festering Arab-Israeli conflict if necessary, a Saudi newspaper said on Sunday.

Saudi Arabia and other Arab states want Obama to get tough with Israeli Prime Minister Benjamin Netanyahu who has balked at Palestinian statehood and defied US calls to halt the expansion of Jewish settlements.

King Abdullah told Obama during his visit to Riyadh last week that Arab patience was wearing thin and that a solution to the Arab-Israeli conflict would be the "magic key" to all issues in the region, al-Hayat said, quoting what it called informed sources.
"We want from you a serious participation to solve the Palestinian issue and impose the solution if necessary," the Saudi monarch told Obama, according to the paper, which is owned by a nephew of the monarch. It did not elaborate.

Saudi Arabia was the driving force behind an Arab peace initiative first put forward by Arab states in 2002 offering Israel recognition in return for withdrawal from Arab land occupied in 1967 and a Palestinian state.

Israel has reacted coolly to the offer, renewed in 2007, saying a return of Palestinian refugees to areas now inside Israel would destroy the Jewish character of the state.

"We (Arabs) want to devote our time ... to build a generation capable of confronting the future with science and work," King Abdullah said, according to al-Hayat.
Source : Arabian Business

Monetary union pact signed

2009-06-07T16:03:00.000-07:00

By Ghazanfar Ali Khan

RIYADH: A landmark accord on monetary union among four members of the six-nation Gulf Cooperation Council (GCC) was signed here yesterday.

This long-awaited common currency agreement signed by Saudi Arabia, Kuwait, Bahrain and Qatar at the Conference Palace here calls for the establishment of the GCC Monetary Council this year that will pave the way for setting up a regional central bank in Riyadh.

“This is a landmark accord,” said Saudi economist Ihsan Bu-hulaiga. “But it is highly desirable that other two members should also come on board and I am hopeful that the UAE and Oman will join at some point of time.”

The UAE recently announced it was pulling out of the deal after expressing opposition to the central bank being located in Riyadh. Oman backed out in 2006.

“The GCC Monetary Council will manage the transition toward monetary union, which is targeted to be operational in 2013,” said a GCC spokesman, Abdelaziz Al-Uwaisheg, here yesterday. The original target date for minting a common currency was 2010, but that was later postponed so that member states could have more time to work out differences.

“The currency union is the ultimate culmination of this integration and if that takes a bit longer it doesn’t worry me,” said Bu-hulaiga. The agreement will still have to be ratified by each of the four GCC governments of the remaining participants before it can be enacted.

GCC officials have said the Monetary Council will be in session before the end of the year. John Sfakianakis, chief economist at SABB, said the states that stayed out will eventually understand that “the benefits of joining far outweigh the costs of opting out.”

He, however, said much remains to be done. “The European Monetary Union didn’t happen overnight. Much was compromised by all sides as supranationalism took greater hold.”

Speaking on the occasion, GCC Secretary-General Abdulrahman Al-Attiyah said the GCC foreign ministers would meet today to discuss many other regional issues. He said that today’s ministerial meeting would take stock of US President Barack Obama’s recent visit to Saudi Arabia and his speech in Egypt addressing US relations with the Muslim world.

All six GCC foreign ministers, including Anwar Mohammad Qirqash, UAE minister of state for foreign affairs, have arrived in Riyadh for today’s ministerial meeting.

Al-Attiyah, who met Yemeni Foreign Minister Abu Bakr Al-Qirbi here yesterday, said they jointly reviewed aspects of cooperation between the GCC and Yemen and other issues of mutual interest.

As a prelude to today’s meeting, the GCC and Yemen discussed the steps to be taken to integrate Yemen’s economy into economies of the GCC states through supporting the development process in Yemen.

Al-Attiyah and Al-Qirbi also talked about the agenda of the 4th joint meeting of the foreign ministers of GCC and Yemen. The agenda of that meeting also includes several issues related to promoting the partnership and cooperation between Yemen and GCC states.

Source : Arab News