The Indonesian state-owned Islamic bank Bank Syariah Indonesia (BSI) plans to open a representative office in Dubai in 2022, local media reported.
The bank’s corporate secretary Gunawan Arif Hartoyo reportedly told Salaam Gateway that the bank is waiting for a license from the Dubai Financial Service Authority (DFSA) to be granted by the end of this year.
He indicated that the bank’s Dubai office will become a joint lead manager or underwriter on the upcoming issuance of global sukuks, including Indonesian state sukuks and corporate sukuks from state and private companies in Indonesia.
– Dubai Media Office (@DXBMediaOffice) 22. November 2021
It will work in three major business areas: Global Sukuk, Remittance and Trade Finance.
In June, Nasdaq Dubai announced that it had listed three Sukuk tranches issued by the Indonesian government with a total value of $ 3 billion. At that time, the total value of all sukuks listed on Nasdaq Dubai by the Indonesian government was $ 19.75 billion.
Thank Bank aims to be among the ten largest Islamic banks in the world by 2025 based on market capitalization.
As of the end of September, the total assets of Islamic financial institutions in Indonesia rose year-on-year by 17.32 percent to 132.7 billion US dollars 8.16 billion in Sharia non-bank financial solutions. Islamic financial wealth makes up 10.11 percent of total financial wealth in Indonesia.
Earlier this month, the Indonesian state-owned wealth fund announced that it had signed a new agreement that will allow funds from the UAE to be invested in a variety of its high-yield financial instruments. The framework investment agreement was signed with the Abu Dhabi Growth Fund, which in March announced a USD 10 billion investment in the Southeast Asian country’s wealth fund.