Asian Development BankAsianBondsOnline An ASEAN+3 Initiative
12 May 2008
  
 
  
Malaysia - Leading the Way in Islamic Finance

Malaysia has been working hard to establish itself as a center for international Islamic finance. In August 2006, it hosted the Malaysian Islamic Finance Issuers and Investors Forum. In September 2006, the government's investment house (Khazanah Nasional Berhad) issued a USD750 million Islamic exchangeable bond - reported to be the largest ever of its kind. The central bank (Bank Negara Malaysia), the Securities Commission of Malaysia, Labuan Financial Services Authority, and the exchange holding company (Bursa Malaysia) have worked together to make Malaysia the dominant sharia-compliant asset generator in Asia.

Malaysia began offering Islamic banking services in 1983, and ranks first in an Asian Banker Research survey of institutions providing Islamic banking services. Malaysia holds 73% of the top 40 Islamic banking institutions' assets in the region. Banks in five other countries in Asia - Bangladesh, Brunei Darussalam, Indonesia, Pakistan, and Philippines - have recently begun to offer Islamic banking services, seeking to build market penetration in this growing sharia-compliant sector.

Links:

Malaysian Islamic Finance Issuers and Investors Forum 2006 "Malaysia - The International Islamic Financial Centre"

Maybank largest in Islamic banking in Asia Pacific

Bank Negara is top again in Islamic Finance

KFH wins Islamic banking awards

Malaysia on track to become premier global Islamic finance centre

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