Islamic Finance News Portal – Bringing you the latest updates in global Shariah finance

Watch out for news alert!

Call to set up procedures to regulate Islamic banking

leave a comment »

Points of Essence:

  • Central banks in Islamic countries are urged to form their legislative platform to deal with Islamic banking as clear rules are a prerequisite to regulate the related industry.

Doha • The 3rd Annual World Islamic Infrastructure Finance Conference opened here yesterday with prospects of the Islamic banking in the context of the current global financial crisis topping the discussions.

In his keynote address at the conference, Minister of Finance and Economy H E Yousuf Hussain Kamal stressed the need for central banks in Islamic countries to set up procedures to regulate Islamic banking. Yousuf Hussain said central banks rules should include a chapter dealing with Shariah compliant financial transactions.

He called on Islamic banks to draft laws and regulations that must be applied by central banks to Islamic banks activities, saying that there must be clear laws to regulate Islamic financial transactions. The Minister of Finance and Economy also said Qatar is continuing to implement its development plans and projects despite the global financial crisis and lower oil prices, adding that Qatar has many development projects.

He called on Islamic banks to contribute in the financing and implementation of new projects in Qatar, and to invest in all Islamic countries. He noted that there are huge projects in Qatar and the Gulf providing Islamic banks with the opportunity to finance such projects.

Referring to the current global financial crisis, Kamal said it has affected every part of the world including developing Islamic countries that depend on exports and imports. The global crisis represents an opportunity to reconsider the traditional banking systems and the Islamic banking and economic systems, he said.

The 3rd Annual World Islamic Infrastructure Finance Conference which attracted more than 200 international and regional industry leaders including project financiers and investors as well as leading developers representing real estate, energy and other key infrastructure sectors.

WIIFC 2008 which also showcased the next generation of cutting-edge solutions in the Islamic project finance market has this year achieved new records in delegate attendance, firmly establishing itself as the most important Islamic project finance gathering for industry leaders seeking to tap Islamic finance for infrastructure projects. For instance, in his presentation at the conference, Musadag El Melik, General Manager of QNB Al Islami noted that a total of 72 projects are scheduled in Qatar during the period between 2008 and 2011 worth an estimated QR 112.8bn.

This include six oil exploration projects totaling $ 2bn which are under bidding process, 10 oil upstream projects worth $ 4.1bn scheduled for execution next year, five gas upstream projects worth $ 16.1bn under study and slated for the period from the fourth quarter of this year to the second quarter of 2010. Other projects include 35 gas projects worth $ 30bn slated for execution during the fourth quarter of this year to the second quarter of 2010, three power generation projects worth $ 2.3bn scheduled for execution during the fourth quarter of this year to the second quarter of 2010, eight pipeline projects totaling $ 915m scheduled for execution in 2008-09 and five water waste processing projects totaling $1.9bn scheduled for execution in 2008-11.

Source: The Peninsula

Advertisements

Written by Suapi Shaffaii

October 29, 2008 at 10:18 pm

Leave a Reply

Fill in your details below or click an icon to log in:

WordPress.com Logo

You are commenting using your WordPress.com account. Log Out / Change )

Twitter picture

You are commenting using your Twitter account. Log Out / Change )

Facebook photo

You are commenting using your Facebook account. Log Out / Change )

Google+ photo

You are commenting using your Google+ account. Log Out / Change )

Connecting to %s

%d bloggers like this: