Morocco's central bank has approved the use of five types of Islamic banking transactions. This means a final regulatory nod for the country to launch an Islamic finance industry. The central bank has recently set up a central sharia board to oversee the sector. The five approved transactions include murabaha, musharaka, ijara, mudaraba and salam. The central bank also set regulations for conventional banks to open windows selling Islamic products. It had given regulatory approval to three major Moroccan banks to open Islamic subsidiaries: Attijariwafa Bank, BMCE of Africa and Banque Centrale Populaire, as well as to smaller lenders Credit Agricole and Credit Immobilier et Hotelier. Subsidiaries of Societe Generale of France, Credit du Maroc and BMCI have also won permission to sell Islamic products.
The vote of Morocco's parliament on the new draft banking law will take place in September. A chapter of the new law concerns Islamic banking. It is expexted, that in the very near future, Islamic banking will start in the country, already there are investors for the sector. A boost to Sharia-compliant finance is discussed.