Car Loan Rules Spur Indonesian Shariah Lending
Regulators changed the rules on non Islamic loans for the purchase of motor vehicles like cars and motorcycles in favour of Islamic loans. As a result, consumer-finance companies in Indonesia increasingly consider Shariah-compliant lending. PT Adira Dinamika Multi Finance, which recently started Shariah-compliant business, expects for it to make up 20% of its overall operations. Other Shariah lenders clain that Islamic loans will grow as fast as 30% a year in the near future.
Syndicate
