Malaysia is emerging as the newest hot spot for Arab investments. In the aftermath of the September 11 attacks, Islamic industrialists are seeking new investment opportunities for funds they have withdrawn from US accounts, reported Business Times. Arab businessmen have shown interest in Malaysia’s Shariah compliant private debt securities (PDS), assets and real estate.
According to the Saudi American Bank’s Chief Executive Officer Naveed Khan, the reported estimated $200 billion outflow of Arab investments from the US can be attributed to a religious affinity for Islamic financial facilities. Some $100 billion of the funds are believed to originate from the Gulf Cooperation Council (GCC) countries and approximately $50 billion from Saudi Arabia, stated Khan.
Islamic investment instruments began to be developed and ensured of its practicality in Malaysia following the debut of Islamic banking around twenty years ago. Currently more than 60 percent of the bonds issued in Malaysia are Shariah compliant. — (menareport.com)
© 2002 Mena Report (www.menareport.com )