IslamicFinance.de

According to Turkish Deputy Prime Minister Ali Babacan, the number of participation bank branches has reached 869, thier size of assets has increased to 81.5 billion Turkish Liras. Therefore, the participation banks’ share in assets is 5 percent and in funds it’s 6 percent. However, these figures are below expectations, he added. The minister stated that the tax difference between sukuk and bonds has been removed, legislation related to Islamic financing has been completed, and the private pension system has become able to be built on non-interest instruments. Moreover, Turkey has expressed its intention to create a legal basis for Takaful insurance, since Bahrain-based Albaraka is planning to found an Islamic insurance firm. Furthermore, two new participation banks from the Gulf countries had been preparing to enter to the country.