The wave of international expansions by Japan's banks and corporations in the past year suggest that the country's economy, which has long been struggling to recover from its financial crisis in the 1990s, has finally returned to strength. But Japan is still grappling with domestic difficulties, among them, low growth, large public debt and a mounting energy bill.

Needing to raise €3bn in Tier 2 capital at short notice, reborn Dutch bank ABN Amro broke new ground in the Singapore dollar market.

Despite well-publicised retrenchment in commodities finance by some European banks, merchant trading companies are still able to find sources of funding expand their business lines.

The worst of the liquidity squeeze on eurozone banks has eased conditions for commodities finance during 2012, but the business still faces significant challenges.

The Bank of the Year winners from Asia-Pacific.

Islamic finance is increasingly being viewed as a credible alternative to conventional finance, but Hussain Al-Qemzi, group chief executive of Dubai-based Noor Investment Group and chief executive of Noor Islamic Bank, recognises that Islamic institutions must work together if they are to compete with conventional banks.

To maintain its phenomenal growth rates, Islamic finance is increasingly looking beyond sukuk and property investment to growth areas such as renewable energy and healthcare. 

The steady growth of sharia-compliant assets suggests banks believe in the future of the sector, but the dismantling of the largest cross-border Islamic window raises questions about whether global banking groups can make a success of the business.

Malaysia leads the world in providing a sharia-compliant environment for savings. CIMB Islamic's Badlisyah Abdul Ghani charts the rise of Islamic finance since its founding in the country 50 years ago.