IslamicFinance.de

The Islamic Financial Services Board (IFSB) has published new guidelines on capital adequacy for Islamic banks and risk management of takaful. The introduction of Basel III standards, which will be phased in over the coming years, has led to the new guidance. Revised guidelines detail the criteria for using sukuk as Tier 1 and Tier 2 regulatory capital, a practice that has been in operation this year in financial institutions in the United Arab Emirates and Turkey. Guidelines for takaful firms outline issues faced by Islamic insurers, including the risk that their products become non-compliant with sharia principles, and lays out best practice when it comes to supervising funds and disclosing information.

Path Solutions, provider of Islamic banking software, has announced the deployment and successful rollout of iMAL Islamic core banking system at all five Al Hilal Islamic Banking Services branches of Ahlibank. iMAL was implemented using Microsoft Windows OS and Sybase Software. According to Ahlibank CEO Abdul Aziz Al Balushi, iMAL will enable the delivery of Islamic banking products and services whilst ensuring full compliance with the Sharia guidelines and local regulations.

Banque Populaire de Mauritanie (BPM) recently announced its decision to use Path Solutions's new iMAL as its Islamic Core Banking Solution in order to keep up with the national and international competition in terms of functionality and technical state. According to Limam Ould Ebnou - AGM of Groupe Mauritanie Leasing, the owner of BPM - Groupe Mauritanie Leasing is set to diversify their activities. Banking operations compliant with Islamic law are a key area in the financial group's plans. Thus a suitable alternative to conventional banking and the establishment of socio-economic infrastructure in the country can be ensured.