Islamic finance needs the same regulation as conventional finance: CIMB

But flexibility to be different between one jurisdiction to another should also be allowed in Islamic finance just as it is allowed in conventional finance.

ABF: Is there a need to impose more globally consistent regulations (e.g. in terms of liquidity management, financial reporting etc) for Islamic banks? Why or why not?

CIMB Islamic: Badlisyah Abdul Ghani, Executive Director and Chief Executive Officer

What is needed is for Islamic finance to be regulated in the same manner as conventional finance. If there is inconsistency or flexibility to be different in conventional finance between one jurisdiction to another, then the same inconsistency and flexibility should be allowed in Islamic finance.

We should not be asking for globally consistent regulation for Islamic finance when it may not necessarily exist in conventional finance. Notwithstanding, we should aim to have as much as possible a consistent regulatory framework in the same manner that we are trying to achieve in conventional finance, but it cannot be at the expense of making the industry rigid and less dynamic than conventional finance.

Also Read

Governance issues weigh on Bangladesh’s Social Islami Bank PLC

Malaysia, UK tout Islamic finance to bridge green funding gap

Since you're here...

...there are many ways you can work with us to advertise your company and connect to your customers. Our team can help you dight and create an advertising campaign, in print and digital, on this website and in print magazine.

We can also organize a real life or digital event for you and find thought leader speakers as well as industry leaders, who could be your potential partners, to join the event. We also run some awards programmes which give you an opportunity to be recognized for your achievements during the year and you can join this as a participant or a sponsor.

Let us help you drive your business forward with a good partnership!

I want to download the media kit