IslamicFinance.de

BAFT (Bankers Association for Finance & Trade) and IIFM (International Islamic Financial Market) announced a memorandum of understanding to jointly create a master risk participation agreement to support Islamic Trade Finance. The Islamic Risk Participation Agreement (IMRPA) will incorporate the practical considerations for funded and unfunded risk participations in trade assets within a Shari’ah-compliant framework. BAFT President Tod Burwell said BAFT was proud to partner with IIFM to introduce some much-needed standardization to the market in support of Islamic trade. IIFM Chairman Khalid Hamad said this collaboration would contribute to increasing the trade finance business on a Shari’ah-compliant basis.