IslamicFinance.com is the home of the Islamic Finance Industry.
Engage with the Islamic Financial Market with IslamicFinance.com
Stay informed with the industry’s leading Islamic finance resource which alongside its sister platform Sukuk.com provides exclusive insights into the Sharia compliant financial industry. Free access to Sukuk and Islamic Bank databases, standards, investments and directory of market participants.
Darren Loveday, Stephen Loveday - Power To Progress
Dubai Islamic Bank, Dubai Islamic Economy Development Centre, WIEF, Commercial Bank of Qatar, Qatar National Bank, Gulf Finance House, Brunei Ministry of Finance, HSBC Amanah, Panin Bank Syariah, Muzn Islamic Banking, Noor Bank, Qatar National Bank, Islamic Development Bank, Tun Razak Exchange.
The Islamic Finance Industry
Current Industry size of between $2 Trillion and $4 Trillion and growing at 17% per annum. Industry size though much larger, consider half of S&P500 is Sharia compliant - valued at $1.9 Trillion alone and not included in official figures.
Islamic Finance Centres
Major Islamic Finance Centres are Kuala Lumpur, London, Luxembourg and Dubai whilst Hong Kong, Singapore, Turkey and Indonesia are all developing their Islamic markets.
Islamic Finance is for all Mankind
Malaysia is home to the most developed Islamic Finance market. Non-Muslims make up significant portion of Islamic Bank customers as Sharia compliant products are ethical and tend to be more competitive than conventional financial products in Malaysia.
Growth Drivers - Population and Demographics
25% of world population is Muslim, but only 2% of global assets are Sharia compliant.
Growth Drivers - Growing Middle Classes
Growth is being driven by affluent and emerging middle class Muslims globally looking for investing solutions based on Sharia and Ethical principles.
Growth Drivers - Oil and Gas Wealth
Excess liquidity from Middle East and Asian Sovereign Wealth Funds is eager to place funds into Sharia compatible instruments.
Longer Term Growth
Longer-term growth will be driven by greater coordination and consolidation within the currently fragmented Islamic Finance industry.
Islamic Financial services will continue to show strong growth as unbanked populations participant with the financial sector. 8% of Turkish adults do not have a bank account for religious reasons, according to a 2014 World Bank report.
After Islamic Banking, Sukuk represent the biggest element of Islamic Finance. Sukuk is asset securitization based on Sharia principles and often viewed as Islamic Bonds. The United Kingdom became the first non-Muslim country to issue a sovereign Sukuk in 2014.
Rated Sukuk are heavily oversubscribed, whilst quality companies which covert operations to Islamic Finance principles are able to attract Islamic investors. Vodafone Qatar converted its operations to those based on Sharia rules and practises, its shares jumped 22%.
International Islamic Finance
The US Dollar dominates Islamic Finance transactions whilst the Malaysian Ringgit has emerged as a popular cross border currency. English Law governs most international Islamic Finance contracts.