IslamicFinance.de

Despite the surge and purported popularity of Islamic finance, the industry is inconsequential in comparison to conventional finance. Islamic finance assets are heavily concentrated in the Middle East and Asia, and overwhelmingly in the Islamic banking sector. The Great Financial Crisis has caused a fundamental loss of trust by the general public in the financial system. Islamic finance should capitalise on this opportunity by highlighting its ethical standards and risk sharing principles. Nevertheless, there is a long road ahead for Islamic finance to achieve mainstream status. GCC governments need to take the lead to mainstream Islamic finance.

Experts stated that corporate governance reform efforts by Middle East firms should start at board level. Regional and international speakers focused on director independence and responsibilities, as well as board diversity.
Nasser Saidi, chief economist at the Dubai International Financial Centre and executive director of the Hawkamah Institute for Corporate Governance, warned that only a minority of regional firms had gone forward to ingrain corporate governance into the culture of their companies, despite having put in place better guidelines and controls.

Hawkamah Institute for Corporate Governance will launch a template for sukuk ijarah. The purpose is to cut the cost of issuing the debt and strengthen the Islamic finance business. Thi statement comes from Nasser Saidi, the executive director.
The institute expects to release the document by year-end.