Goldman Sachs is to push forward with plans to launch its first Islamic bonds, as Islamic finance continues its journey into the mainstream.
The US bank will meet investors in Qatar and the UAE next week, it has been announced, to discuss the launch of $500 million (£306m) of five-year bonds.
If the issuance goes ahead, Goldman Sachs will become only the second global institution to offer Islamic bonds, or sukuks, after HSBC.
Questions have been raised over the appropriateness of Goldman’s efforts, after the bank’s initial plans to delve into the Islamic bond market failed in 2011, following criticism from Islamic scholars.
Sukuks are compliant with sharia law, which rules that investors are not entitled to charge interest or transaction fees and must avoid certain unethical industries.
Mohammed Khnifer, an Islamic financial specialist, told the Financial Times that the bank must make clear the proceeds from any Islamic bonds are not used to finance its conventional lending operations.
Mohamad Akram Ladlin, executive director at the International Shari’ah Research Academy for Islamic Finance, told Reuters, “As with any issuance it is encouraged if the purpose of it is for good: to develop infrastructure, to enhance Islamic finance, for example.
“The earlier controversy was with their background, their image in the industry. There were also issues with the structure of the sukuk. If they can overcome these, why not?”
Goldman hopes that the move will raise its already high profile in the Middle East and allow the bank to play a part in a growing market.
Like our Facebook Page
How to Find an Eco-Friendly Termite Control Service Provider in Malaysia
Eco-Friendly Vegans Win Most Battles Not the War
3 Iconic Chicago Billboards Eco-Friendly Advertisers Can Learn from
EnviroSolar’s Abe Issa Discusses Success in Green Entrepreneurship
How Sports Could Be Impacted by Climate Change
What Eco-Friendly Patients Should Know about Online Therapy
6 Reasons Why Meal Delivery Services are Eco-Friendly
The Path for Retail’s Sustainable Future
4 Eco-Friendly Ways to Treat a Sinus Infection
4 Strategies for Eco-Friendly Real Estate Investors to Find Properties
How Managed Print Services Helps to Reduce Paper Waste
Why Scientists Are Concerned About ‘Forever Chemicals’ In Drinking Water
Meat Farming Is Only Getting Smarter, Easier & Eco-Friendlier
What is Eco-Friendly Homesteading and How Does it Affect Your Insurance?
Importance of Using a Water Purifier in an Area with High Pollution
Alternative Financing Ideas for Green Businesses that Shun Banks
Tencel Material Demand Shows Britain Is More Eco-Friendlier Than Ireland
How To Invest in Clean Energy Stocks in Only Five Easy Steps!
How To Secure Funding As An Eco-Entrepreneur?
4 Amazing Eco-Friendly Businesses Worth Starting in 2021
- Features8 months ago
Seven Health and Safety Tips for Eco-Friendly Products in a Green Home
- Energy9 months ago
Eco-Friendly Homeowners Lower Carbon Footprints through Greater Air Conditioner Efficiency
- Features8 months ago
Essential Guidelines for Eco-friendly Moving into new Home
- Invest10 months ago
The Eco-Friendly Evolution of Bitcoin Over the Years