The Islamic Development Bank Institute (IsDBI) and the World Bank have launched a report highlighting the most important aspects of Islamic finance that relate to infrastructure public-private partnerships.
Entitled “Reference Guide: Islamic Finance for Infrastructure PPP Projects,” the report was launched during the 15th IsDB Global Forum on Islamic Finance held virtually on 28 August 2021, on the side lines of the 2021 IsDB Group Annual Meeting.
It covers the role Islamic finance can play in the infrastructure financing challenge, the major players in the global Islamic finance industry, the potential alternatives offered by Islamic finance to meet the public infrastructure financing gap, and the Islamic finance structures for infrastructure PPP projects.Read more
AAOIFI, the international standards setting organization for Islamic financial institutions has approved and issued standards on transactions of Islamic financial institutions.
The two major standards are
Shariah standards and accounting standards.
Recently, AAOIFI with the assistance of international payment processed VISA has issued a standard on Payment. The sharia standard no is 61 is all about payment process by Islamic financial institutions. This standard can reduce the burden of sharia scholars and auditor who didn’t have an international standard to follow when processing the payment cards. The standards can be retrieved from AAOIFI.
The Islamic Financial Services Board (IFSB) is pleased to announce that the 15th IFSB Summit will be held from 9 to 11 November 2021 in Jeddah, Kingdom of Saudi Arabia, hosted by the Saudi Central Bank (SAMA) – the fifteenth series of this biennial landmark event for the IFSB.
The theme of the IFSB 2021 Summit is “Islamic Finance and Digital Transformation: Balancing Innovation and Resilience”. The Summit will focus on ways to foster innovation, technological adoption, accessibility and sustainability in the Islamic financial system to boost its growth and development, as well as the policy implications arising from rapid digital transformation.
In addition, the summit will highlight the work that remains to be done moving forward to strengthen Islamic Finance Services’ resilience and stability. The rise of technology in financial services is shaping current sectors across banking, capital markets and takāful, and giving rise to new modes of financial intermediation such as crowdfunding and blockchain solutions. These exciting changes and developments require authorities and jurisdictions to balance resilience and innovation, which this Summit will explore over the course of the sessions.
Among the topics of discussion are:
Digital Transformation of Islamic Financial Services.
Crypto-Assets and their Implications for Islamic Finance.
FinTech and Islamic Financial Services.
Achieving Synergy between Digital Islamic Finance and Sustainability.
Effective use of Supervisory and Regulatory Technology by Authorities.
Nigeria’s premier non-interest bank, Jaiz Bank Plc has announced the signing of a formal agreement to secure a $25 million shariah-compliant line of financing (LOF) from Islamic Corporation for the Development of the Private Sector (ICD).
The funds will enable the lender to support the growth of small and medium scale enterprises (SMEs) in Nigeria.
According to Jaiz Bank, the formal agreement to access the funds from ICD took place on September 2 during the just concluded Islamic Corporation for the Development (IsDB) annual meeting in Uzbekistan.
The signing ceremony could not hold in February 2021 due to COVID-19 restrictions, the lender said in a statement to the Nigeria Exchange Group (NGX) on Wednesday.
“Continuous cooperation between ICD and Jaiz Bank will result in easier access by SMEs to Shariah-compliant financing that will meet their funding needs, as well as assist in keeping businesses open and preserving jobs,” Ayman Sejiny, the CEO of ICD, said.
In this age of disruption and digitisation, Islamic fintech, built on Sharia-embedded ethical values of fairness, justice and equity, is poised to drive the global finance industry to its next phase of evolution and opportunity.
With more customers demanding ethical banking practices, Islamic fintech offers an attractive alternative for a younger, technologically-minded customer base.
As governments implement forward-leaning policies to support their development, it is also imperative that regulations continue to evolve in tandem, safeguarding the sector as it continues to grow.
Higher oil prices have reduced sovereign funding needs in the GCC countries in the first half, leading to flat or slightly lower global sukuk issuance this year, Moody’s Investors Service said in a report on Tuesday.
The adoption by the UAE of certain Shariah-compliance standards (the Accounting and Auditing Organization for Islamic Financial Institutions’ Sharia Standard 59) has also slowed issuance of sukuk from the Gulf, according to Reuters quoting unnamed sources.
Qatar green bonds, sukuk and ESG (environment, social and governance) funds are soon expected to be in place as the country is “primed” to take advantage of the trend of carbon target, according to a senior official of the Qatar Financial Centre (QFC)
President Irfaan Ali has requested the reprogramming of previously approved Islamic Development Bank (IsDB) funds and the programming of new resources to help Guyana strengthen its capacity to respond to any future extreme climatic events and to build more resilient infrastructure.
Bank Muamalat Indonesia and the Financial Services Authority (OJK) have agreed to make a breakthrough to improve financial literacy, especially sharia, by using multimedia and digital approach.
Bank Muamalat President Director, Achmad K. Permana, said this synergy step was an effort to educate the public as well as to grow the sharia economy in Indonesia.
“We believe that the digital approach in improving financial literacy is the most relevant and effective thing at this time”, he said at the National Seminar entitled Islamic Financial Literacy in the Digital Era and the Launching of the Sharia Literacy Movement (Geulis), quoted Monday, August 30.