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The storm shall pass
EDITORIAL
Vineeta Tan – Managing Editor Volatility is built into the DNA of the financial markets and while we may embrace and [email protected] live by this truth, nothing could have prepared us for what 2020 unleashed.
Lauren McAughtry – Contributing Editor To say that the COVID-19 pandemic ground the world to a halt is perhaps not an [email protected] overstatement. Economies paralyzed, borders shut, governments scrambling to find a Sasikala Thiagaraja – Senior Contributions Editor solution as the number of infectious cases and deaths continued to climb – such chaos at [email protected] such a scale, is unprecedented.
Kenny Ng – Senior Copy Editor [email protected] One year on since the coronavirus bared its fangs, we are still navigating this “new” normal, with many still hoping to return to pre-pandemic normalcy – although that is unlikely, at Nessreen Tamano – News Editor least not for a few years as the damage caused has been so severe. [email protected]
Jevitha Muthusamy – Journalist It has been a painfully challenging year, with lives and livelihoods lost. For the optimistic, it [email protected] has been a period of real test of the industry’s resilience; and resilient the industry has been.
PRODUCTION If we look at the Sukuk asset class, the industry’s poster child: we see that the market Hasnani Aspari – Head of Production showcased encouraging figures with more Sukuk issued in the first three quarters of 2020 [email protected] at US$130 billion against the same period in 2019. The return on investment-grade dollar
Norzabidi Abdullah – Senior Production Manager Sukuk until November 2020 was about two percentage points higher than the average [email protected] annualized return for five-year papers. And if anything, the pandemic has been a much- needed trigger to catalyze the growth of sustainable Sukuk, with governments (such as Eumir Shazwan Kamal Bahrin – Senior Graphic Designer Malaysia and Indonesia) and multilateral organizations such as the IsDB going to market [email protected] with landmark offerings designed specifically to combat the fallout of COVID-19. SALES For the Islamic banking sector, like its conventional counterpart, it has been wrestling with Cindy Gan – Director of Client Relations deteriorating asset quality and tighter liquidity. Yet, Islamic banks are still posting growth, [email protected] albeit at a lower level. And more significantly, the pandemic has compelled Islamic banks Faye Kelleher – Business Development Manager to expedite their digital strategy, deploying and adopting technology at a pace which would [email protected] not have been possible without COVID.
SUBSCRIPTIONS Despite a global oil price crash, a deadly virus, and messy geopolitical developments, Karthik Thivan – Subscriptions Manager Islamic funds have been impressive at garnering more traction: mid-November 2020 data [email protected] shows that global Shariah funds assets under management grew above US$165 billion
Jaya Chitra Kunchiraman – Subscriptions Development Manager, Head from 2019’s US$105 billion. And as expected, at a time when risks and uncertainties of Legal (Global) have become center stage in our lives, the appreciation for Takaful insurance as a risk [email protected] management instrument has deepened across many markets.
Dharani Eswaran – Subscriptions Manager [email protected] It is incredibly easy to focus on the bad rather than the good – it is almost human nature to do so. But to manage any calamity and turmoil, hope, optimism and gratitude are of crucial Sunitapreet Kaur – Subscriptions Development Manager importance. Thankfully, the industry – which we have continuously engaged – is keeping its [email protected] chin up, and is seeing rays of opportunity in this dark storm. MARKETING The industry has benefited from rapid digitalization and ‘fintechization’; the role of Islamic Anna Rozana – Marketing Director [email protected] finance – particularly philanthropic and Shariah social finance instruments – as a tool for financial inclusion and to meet development needs has been vindicated; and the confluence FINANCE & ADMINISTRATION of ethical and Islamic finance has never been stronger. Hamiza Hamzah – Head of Finance & Administration [email protected] Nobody is denying that 2021 will be another challenging year nor that it will be a long journey to recovery – as elaborated by the many experts who have authored and shared MANAGEMENT their projections for the industry in this seminal publication. But many, backed by historical Andrew Tebbutt – Managing Director data and recent performance, firmly believe in the value, resilience and solidarity of the [email protected] industry; and together, we will weather this storm as we have always done.
Andrew Morgan – Managing Director & Publisher [email protected]
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December 2020 3 CONTENTS
PREFACE 44 Healthcare 99 Central Africa 3 The storm shall pass 46 Human capital 100 China 47 Islamic indices 101 Djibouti FOREWORD 49 Institutional asset management 102 Egypt By Dr Bandar Hajjar, the president 50 Islamic wealth management 103 France 6 of the IsDB Group 51 Law 104 Germany 52 Leasing Ghana UPDATES 105 53 Liquidity management Hong Kong 8 AAOIFI 106 54 Mergers & acquisitions India 12 IFSB 107 55 Microfinance Indonesia 16 IIFM 109 56 Pension Iran 17 IILM 110 58 Private equity & venture capital 111 Ireland 59 Project & infrastructure finance THOUGHT LEADERSHIP 112 Italy Ratings The obvious roadmap, or is it? 60 113 Ivory Coast 19 Thoughts on strategic drivers for 61 Real estate 114 Japan 2020 and beyond 62 Regulatory issues Mind the gap: As SDG financing 115 Kazakhstan Renewable energy gap widens, we must harness the 63 116 Kenya 20 power of science, technology and Retail asset management 65 Kuwait innovation 117 66 Retail banking Can the GCC debt capital markets 118 Kyrgyzstan 21 Risk management make an impact? 67 119 Lebanon Building a stronger and more 68 Secondary markets 22 sustainable world together 120 Luxembourg 69 Securities & securitization 121 Malaysia 70 Shariah & corporate governance SUSTAINABLE FINANCE 122 Maldives 71 Small & medium enterprises Advancing sustainable finance in 123 Malta 23 Malaysia – the year in review 73 Social finance 124 Mauritius 74 Sovereign Sukuk 125 Morocco INTERVIEW 75 SRI ethical & green 126 New Zealand Interview: Moawia Ahmed Elamin, 76 Standardization 25 CEO of Faisal Islamic Bank, 127 Nigeria 77 Structured finance Sudan 128 Offshore centers 78 Syndicated finance 129 Oman 79 Takaful & re-Takaful (Asia) SECTOR REPORTS 130 Pakistan 80 Takaful & re-Takaful (Europe) 28 Accounting 132 Palestine 81 Tax 29 Agriculture finance 133 Philippines 82 Trade finance 30 Aviation financing 134 Qatar 83 Trading & brokerage 31 Crowdfunding 135 Russia 84 Treasury 32 Cybersecurity 136 Saudi Arabia 86 Women in Islamic finance 33 Debt capital markets 137 Senegal Derivatives & hedging 34 COUNTRY REPORTS 138 Singapore Education 35 88 Afghanistan 139 South Africa Equity capital markets 36 89 Algeria 140 Sri Lanka Exchange-traded funds 38 90 Australia 141 Tanzania Family offices 39 91 Bahrain 142 Tunisia Financial institutions & corporate 144 Turkey 40 Sukuk 93 Bangladesh UAE 41 Financial technology 95 Bosnia & Herzegovina 146 UK 42 Gold 96 Brazil 147 US 43 Halal industry 97 Brunei 150 98 Canada 151 Uzbekistan
4 December 2020
FOREWORD
2021: Can the COVID-19 crisis help shape our economies for future growth?
At the IsDB, our immediate response and call for joint action in order to support our member countries at different stages of the recovery Dr Bandar Hajjar is the president of the IsDB trajectory resulted in a comprehensive integrated response package Group. with a total envelop of up to US$2.3 billion. We call this package ‘The 3 Rs’ (Respond, Restore and Restart).
In last year’s IFN Annual Guide, I wrote about how 2020 was As we now approach the ‘Restart’ phase, we want to focus shaping up to be one of the most challenging years. The COVID-19 on building resilient economies on solid foundations. We will pandemic had begun to strike countries around the world and catalyze private investment by supporting economic recovery and economists were predicting a significant economic downturn. countercyclical spending with a targeted US$10 billion guarantee line that aims to unlock US$1 trillion-worth of investments. We must Reflecting a year on, the scale of the outbreak has demonstrated look to the future with optimism for future growth. that we were not prepared for large-scale pandemics. The crisis has already shattered capital markets and the picture for economic We must also look to innovative Islamic financing tools to aid growth even as we approach the new year which looks bleak. the ‘Restart’ phase. In June 2020, the IsDB launched the first Global supply chains have been disrupted, resulting in poor trading sustainability bonds to raise US$1.5 billion from a wide range of conditions. SMEs have been hardest-hit, especially in certain IsDB investors to finance social projects in affected countries. These member countries and other developing nations — and will continue were the first Sukuk of their kind related to the pandemic in the to deteriorate further. global capital market. The proceeds of these sustainability Sukuk will be used in social projects that improve healthcare facilities, But, looking beyond the headlines of rising cases and deaths, the equipment and critical staffing in member countries to mitigate the COVID-19 crisis could actually provide us with a chance to develop effects of COVID-19, as well as to support small- and medium-sized our economies with more resilience. I believe this is an opportunity businesses and promote employment as countries recover from the to shift toward actively shaping and creating markets that deliver effects of the pandemic. sustainable and inclusive growth, rather than continue limiting our role at the government and international community level to The investor diversification we achieved for the sustainability Sukuk reacting to market failures. We can proactively invest in creating and shows that the IsDB sustainable finance story is gaining stronger strengthening institutions that prevent crises. We can coordinate traction in new markets and we hope to maintain this momentum scientific and technological responses, as well as research and for future issuances. We have already seen global financial centers development activities, steering them toward public good. We can such as the UK and Luxembourg issue their own Sukuk and forge public–private–philanthropic–people–partnerships to ensure undertake significant regulatory measures in order to become an both citizens and economies are going to benefit. Islamic finance hub. It is a promising step toward demonstrating the opportunities for Islamic financing tools to play a key role in social We must learn from the lessons of the 2008 Ebola crisis by resisting and sustainable development. to simply hand out unconditional bailouts rather than structuring them to restart into a new economy — one that is focused on a 4.0 The past year has certainly challenged our global economies on an framework of growth. That means building capacity around the fourth unprecedented level. But as we move to recovery, let us not waste generation of industrialization that uses science and technology to this opportunity to reflect, innovate and shape our economies prevent global value chain disruption under such pandemics, while effectively for future growth and resilience. maintaining zero environmental footprints.
6 December 2020 ICIEC is the only multilateral export credit & investment insurance institution in the world that provides Shariah compliant insurance & reinsurance solutions
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[email protected] AAOIFI UPDATE
AAOIFI’s achievements in 2020 and future initiatives
Dr Rizwan Malik is the senior manager of standards Table 1: Adoption status of AAOIFI standards implementation and strategic development at the Level of AAOIFI No. of regulatory No. of countries Accounting and Auditing Organization for Islamic standards adoption jurisdictions Financial Institutions. SHA ACC GOV SHA ACC GOV Full adoption 19 23 18 16 17 15 2020 will be remembered as an unprecedented year for the times to come due to the COVID-19 pandemic, very much like the way Partial adoption 3 5 7 2 5 7 the year 1918 is remembered when the world faced the Spanish Guidance/reference 9 7 8 9 7 8 flu. The former is very much related to the latter in terms of the material havoc it created for people, organizations and economies. Local standards 2 4 3 2 4 3 based on AAOIFI Like all organizations, operations at AAOIFI have been impacted; standards however, due to the nature of its work, it has been successful in containing the damage caused by the ongoing pandemic. In general, Guidance & local 1 2 3 1 1 2 AAOIFI tried to ensure that the operational activities continued, standards based on including the development of standards and technical boards and AAOIFI standards subcommittee meetings being held as scheduled using web-based Supplementary 0 1 1 0 1 1 tools and advocacy and awareness programs. reporting
In January 2020, after an extensive selection process by the AAOIFI SHA–Shariah, ACC–Acounting, GOV–Governance and ethics nominations committee, the AAOIFI Board of Trustees announced Source: AAOIFI the reconstitution of its three technical boards and appointed the respective members for the next four-year term. The formation of technical boards has taken into consideration the proper 2. Standards update representation of the different sectors within the Islamic finance In addition, the AAB principally approved four final standards and industry and of experts serving and supervising the industry, as well one exposure draft, which will be issued after incorporating the as the disciplinary backgrounds and work expertise of the members, board’s feedback. These are: in addition to geographical/regional representation. The technical (a) FAS on ‘First time adoption of AAOIFI FAS Financial accounting boards have some of the most renowned Shariah scholars, leaders standards’ and experts in the Islamic banking and finance industry. Additionally, more than 30 working groups for various standards were formed The objective of this standard is to prescribe principles with more than 100 members from the global Islamic banking and applicable to an Islamic financial institution (the institution) finance industry. adopting AAOIFI FASs or applying them for the first time with regards to the transitional process, as well as to specify Since the reconstitution of the boards, several meetings have been financial reporting requirements applicable to the first financial organized through virtual meeting platforms to discuss various statements. standards in the pipeline and to initiate new projects. (b) FAS on ‘Waad, Khiyar and Tahawwut’ The standard aims at setting out principles for the classification, AAOIFI Shariah Board recognition, measurement with related presentation and disclosure of Waad, Khiyar and Tahawwut transactions. The standard reflects Regarding the Shariah board, various standards are being discussed the different types mainly classified into two types — ancillary including debit cards, charge cards and credit cards, Sukuk, Ijarah Waad or Khiyar and product Waad or Khiyar. The standard and Ijarah Muntahiya Bil Tamleek and Ijarah Mawsufah Fi Dhimmah. attempts to capture the practices and different forms entered into It is expected that the debit card, charge card and credit card by Islamic financial institutions. standards will be approved in 2021. (c) FAS on ‘Financial reporting by Waqf institutions’ AAOIFI Accounting Board (AAB) This standard aims to establish accountability and transparency of Waqf institutions in a suitable manner in compliance with 1. AAOIFI Accounting Board statement Shariah principles and rules. This standard shall be applicable on In the light of the COVID-19 pandemic, the accounting board all types of Waqf institutions and other institutions constituted on issued a statement with the objective to provide clarifications to the concept of Waqf, and operating in line with Shariah principles Islamic financial institutions for the application of AAOIFI Financial and rules, irrespective of their legal status, including virtual Waqf Accounting Standards (FASs) considering certain pertinent issues institutions. arising due to economic factors and regulatory interventions in the (d) The revised ‘AAOIFI Conceptual Framework for Financial wake of the COVID-19 pandemic. The statement addresses the Reporting’ issues related to payment moratoriums and deferment of payments and suspensions; settlement of a transaction with the execution of a The revised conceptual framework introduces the concepts and new transaction can take different forms. Guidance is also provided core principles underlying financial accounting and reporting in the treatment of government grants and subsidies whether by Islamic financial institutions and explains the relationships it is for the support of the financial institution or to subsidize the between these concepts, core principles and the objectives profits charged to customers. Additionally, support and assistance of financial reporting. It also prescribes and improves upon are provided on the expected credit losses, impairment of assets, the existing accounting treatments in line with global best technical reserves and going-concern assumptions under uncertain practices and supersedes the existing conceptual framework. conditions. The statement was issued to provide clarifications and The conceptual framework also serves as a reference point interpretations on accounting treatments in line with the relevant for selection and adoption of accounting policies for Islamic FASs arising in these challenging times. The full statement can be financial institutions in the absence of specific guidance under accessed from the AAOIFI website. the FASs.
8 December 2020 ITFC-2019-Advert-OK copy.pdf 1 4/6/20 11:13 AM
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(e) The exposure draft on ‘Presentation and Disclosures in the It is believed that the implementation of good practices of Financial Statements of Takaful Institutions’ governance of Waqf and Waqf-based institutions will in turn The accounting board of AAOIFI initiated a comprehensive contribute toward improving the effectiveness and efficiency revision project for the FASs on Takaful in 2018 under the of Waqf operations and maximizing the revenues and return recommendation of the FAS review and revision project. The on the institutions’ assets in the short run, as well as toward first part of the deliverables of the Takaful project will be an their growth, perpetuity and sustainability in the long run. exposure draft of the revised FAS 12 ‘General Presentation b) Shariah decision-making and Disclosures in the Financial Statements of Islamic The objective of this standard is to set out a comprehensive Insurance Companies’. The second part of the project is framework for the Shariah decision-making (SDM) process expected to cover the specific requirements for accounting for Islamic financial institutions, while complementing the for Takaful that will replace the other three existing FASs, AAOIFI Shariah standard (SS) 29 ‘Stipulation and Ethics of ie FAS 13, FAS 15 and FAS 19 on Takaful accounting. The Fatwa in the Institutional Framework’. The standard shall exposure draft will be preliminary in nature due to the apply to all Islamic financial institutions and other institutions complexity of the project and will be re-evaluated once the regarding their respective SDM process, involving all second part of the project, relating to accounting treatments, governance organs, internal and external stakeholders, as is complete and comments from the market participants are well as the central Shariah boards. received. Other governance board-related standards that are currently in In addition, the following standards are in advanced stages and different stages of development include: further progress will be achieved in 2021: a) Islamic crowdfunding a) Revised FAS 1 general presentation and disclosure, and b) Shariah compliance and fiduciary rating for instruments, and b) AAOIFI FAS glossary and terminology project. c) internal Shariah audit guidelines/handbook review of auditing standards. 3. AAOIFI Technical Releases (TR) issued by the AAOIFI Technical Advisory and Interpretation Committee (TAIC) Standards implementation • TR on ‘FAS1 Illustrative financials’, and • TR on ‘Implementation guidance for FAS 31 ‘Investment AAOIFI is delighted to publish the comprehensive AAOIFI Agency (Al-Wakala Bi Al-Istithmar)’. Footprint Report 2020, which marks a key milestone since the establishment of AAOIFI in 1991. The e-copy of the report was launched on the 27th October 2020 at an exclusive event. 4. Extension on adoption of AAOIFI standard in light of COVID-19 As per the report findings, the respective AAOIFI standards In the light of COVID-19 and the feedback received from (Shariah, accounting, auditing, governance and ethics) are stakeholders, the AAB decided to provide a one-year extension adopted or acknowledged in various forms by 27 countries and of the effective date of the recently issued AAOIFI FASs: from the 40 regulatory jurisdictions. These include those that adopt either 1st January 2020 to the 1st January 2021. However, the extension fully or partially, use them as guidelines/reference material or as of the effective date shall not be applicable to institutions which a supplementary reporting basis or base their local standards/ have already completed the process of implementation, or where regulations on AAOIFI standards. A summarized version of the regulatory requirements do not allow such extension. adoption status is in Table 1.
AAOIFI Governance and Ethics Board Besides the challenging times globally, AAOIFI continues to 1. Statement conduct exams for its professional qualifications in different parts of the world while ensuring the safety and health of all In the light of the impact of the COVID-19 pandemic, the AAOIFI stakeholders. There are a total of 1,844 AAOIFI fellows, which Governance and Ethics Board board felt the need to issue a include 1,141 CSAA fellows and 703 CIPA fellows, assuming guidance statement on the application of AAOIFI governance, important positions at various organizations in not fewer than 54 ethics and auditing standards. The objective of this statement countries. is to provide clarifications and interpretations as well as flexible options available for Islamic financial institutions to apply AAOIFI Additionally, AAOIFI conducted bespoke workshops virtually on governance, ethics and auditing standards considering the various topics in Shariah, accounting, governance and ethics for challenges that the Islamic financial institutions are facing in the benefit of the Islamic finance industry globally. different jurisdictions due to the role they have to play under the direction given by the respective governments and regulatory authorities to overcome the economic situation created by the Advocacy and awareness COVID-19 pandemic. This statement further includes several The conferences and events AAOIFI organizes were impacted due recommendations for ethical responses by the businesses to the to COVID-19; however, a forum on COVID-19 and its impact on challenges posed by the pandemic. The full statement is available Islamic finance was organized virtually in May, while the annual from the AAOIFI website. Shariah conference was organized in October 2020. Additionally, a launch event was also organized to launch the inaugural AAOIFI 2. Standards update Footprint Report 2020 while the annual AAOIFI–IsDB conference There are two governance standards in advanced stages of is scheduled to take place in December 2020 virtually. development: a) Waqf governance AAOIFI has already published one issue of its biannual journal, The standard has three main objectives: to promote and while the second will be issued before the end of 2020. strengthen the core values of the Waqfs and their governance practices; to lay down key principles and concepts of Waqf Any public opinion or media appearance is the author’s governance based on best practices in governance, suitable independent personal opinion and should not be construed to to the specific nature of Waqf; and to enhance the confidence represent any institution with whom the author is affiliated. of the public and stakeholders in the institution of Waqf.
10 December 2020
IFSB UPDATE
IFSB’s achievements in 2020
and supervisory authorities, industry associations, international intergovernmental organizations and market players. Dr Bello Lawal Danbatta is the secretary-general of the IFSB. This broad mix of stakeholders is the key strength of the organization and strengthens its ability to deliver quality standards and services to the industry. The diversity of experiences and viewpoints within the membership base (particularly on regulatory issues and concerns) is The IFSB is an international standard-setting organization which further promoted by collaboration and participation in various platforms was officially inaugurated on the rd3 November 2002 and started organized by the IFSB, allowing the members to collaboratively promote operations on the 10th March 2003. It serves as an international the soundness and stability of the Islamic financial services industry. standard-setting body of regulatory and supervisory agencies that have vested interest in ensuring the soundness and stability As at December 2020, the IFSB have 188 members that comprised of the Islamic financial services industry, which is defined of 79 regulatory and supervisory authorities, nine international inter- broadly to include Islamic banking, Islamic capital market governmental organizations, and 100 market players (financial and Takaful. In advancing this mission, the IFSB promotes the institutions, professional firms, industry associations and stock development of a prudent and transparent Islamic financial exchanges) operating in 57 jurisdictions. services industry through introducing new, or adapting existing international standards consistent with Shariah principles, and recommend them for adoption. Preparation and development of the IFSB standards The IFSB formulates global prudential standards and guiding The IFSB membership principles for adoption by the IFSB member jurisdictions. The preparation of these standards follows a quality driven lengthy The IFSB has a diverse and unique membership of international, due. Since its inception, the IFSB has issued 34 standards, guiding regional and national organizations and market players who share principles and technical notes for the Islamic financial services its objectives. The members of the IFSB consist of regulatory industry.
12 December 2020
IFSB UPDATE
Standards under development The formulation of the IFSB standards and guidelines adhere to a rigorous due process. A number of standards going through this due process to be completed soon are: Technical Note on Recovery and Resolution of IIFS, Revised Shariah Governance Framework Standard, Core Principles for Islamic Finance Regulation (Takaful), Revised Capital Adequacy Standard for Institutions Offering Islamic Banking Services (RCAS), Core Principles for Islamic Finance Regulation [Financial Market Infrastructures], and IADI-IFSB Core Principles for Effective Islamic Deposit Insurance Systems (CPIDIS).
Knowledge sharing and research The IFSB publishes working papers, reports and proceedings to contribute to efforts in knowledge sharing among industry stakeholders. This is in line with Article 4(g) of the Articles of Agreement “to undertake research into, and publish studies and surveys on, the Islamic financial services industry”. The IFSB’s landmark publication is the Islamic Financial Services Industry Stability Report, published annually since 2013. To date the IFSB has issued 14 working papers on issues related to the Islamic financial services industry.
The IFSB milestones 2020 Despite the challenges due to COVID-19 crisis, the IFSB has achieved a number of significant milestones in 2020 among those are:
• The Financial Stability Board (FSB) included the IFSB’s Core • The IFSB successfully connected its 2020 annual meeting Principles for Islamic Finance Regulation (Banking Segment) virtually; into the Compendium of Standards; • The IFSB conducted online seminars, capacity building and • The IFSB and Arab Monetary Fund renewed their MoU to executive programs on COVID-19 and its implications on support the development of the Islamic finance among member institutions offering Islamic financial services in addition to all countries; scheduled workshops activities; • The IFSB admitted seven organizations into its membership; • The IFSB issued public statements addressing the implications of COVID-19 on aspects of Islamic banking and Islamic capital • The IFSB published the French version of three IFSB Standards markets; on the Core Principles for Islamic Finance Regulation (Banking Segment) (IFSB-17), Guiding Principles for ReTakaful (Islamic • The IFSB issued a compendium of financial sector regulatory Reinsurance) (IFSB-18) and Guiding Principles on Disclosure responses to COVID-19; Requirements for Islamic Capital Market Products (Sukuk and • The IFSB organized the online Regulatory and Supervisory Islamic Collective Investment Schemes) (IFSB-19); Authorities (RSA) Forum on COVID-19; • The IFSB issued the eighth edition of its annual flagship • The IFSB launched the Islamic Financial Services Industry publication: the Islamic Financial Services Industry (IFSI) Stability Report 2020 and hold the Members and Industry Stability Report 2020; Engagement Session virtually; • The IFSB and the IsDB signed a Technical Assistance Grant • The IFSB organized its first CEO’s Forum on COVID-19 and Its Agreement for the final review of the 10-Year Framework and Implications on Institutions offering Islamic Financial Services; Strategy Project for the Islamic Financial Services Industry; • The secretariat also organized an Extraordinary Technical • The IFSB Prudential and Structural Islamic Financial Indicators Committee meeting to ensure technical projects are not (PSIFIs) database achieved a new milestone with the interrupted; dissemination of data on the Takaful sector; • The IFSB provided free full unlimited access to the IFSB • The IFSB published frequently asked questions for Standards e-learning modules for all membership categories for staff of on Corporate Governance (IFSB-3), Governance for Islamic member institutions in order build capacity based on published Collective Investment Schemes (IFSB-6), Risk Management for IFSB standards; and Takaful Undertakings (IFBS-14) and Financial inclusion (TN-3); • The IFSB’s 2nd Innovation Forum discussed ‘Digital • The IFSB and Bahrain Institute of Banking and Finance renewed Transformation of Islamic Finance and other Innovative their MoU to enhance the stability of the Islamic financial Solutions for Post-COVID-19 Recovery’. services industry; and • The IFSB Council adopted two new standards for the Islamic Our future plans financial services industry The IFSB will continue focusing on the IFSB mission of providing unparalleled support for its member organizations and strengthen its COVID-19 initiatives engagements and benefits. An in-depth deeper analysis of the COVID-19 implications, emerging risks related to accelerated The IFSB continued its commitment and support to all member technological transformation and other vulnerabilities that may organizations, and achieved the following milestones in response to potentially affect the financial stability, resilience and soundness of the spread of the coronavirus disease (COVID-19): the global Islamic financial system will be our top priority in 2021 and beyond. The IFSB Secretariat aims to increase its global visibility • The introduction of virtual formats for all workshops, technical and collaboration with all stakeholders and international meetings and other activities; counterparts.
14 December 2020 The World’s Leading Islamic Finance News Provider
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