 > MIFC - The Right Choice |
MIFC - The Right Choice
After more than two decades of experience in the development of Islamic finance, we are now seeing the international dimension of Malaysia's Islamic financial system gain significance. The Malaysian Islamic banking system saw in particular strong performance in 2006, with higher profitability, and has remained well capitalized. Islamic banking assets amount to USD34 billion or 13% in terms of market share. The takaful sector stands at USD1.7 billion. The Malaysian Islamic capital market has been equally encouraging. The domestic bond market plays a crucial role in ensuring that the financing needs of the economy are being fulfilled. The depth and diversity of Malaysia's capital market has been enriched through the issuance of ringgit sukuks by multinational and multilateral institutions such as the International Finance Corporation and the International Bank for Reconstruction and Development.
Malaysia has developed the comparative advantage in the area of Islamic finance. The comprehensiveness of the Islamic financial system in Malaysia has been mutually reinforcing. Key components of the financial system comprising Islamic banking, takaful, Islamic money and capital markets are now at an advanced stage of development. In addition, the established regulatory and Shariah frameworks in the Islamic financial infrastructure is also a key advantage supporting the progressive and resilient development of Malaysia's Islamic financial industry.
|
