Photo : Messenger
In an era shaped by geopolitical dynamics, the backing of Islamic banking and finance stands as a pivotal stride, particularly within major Islamic economies. This support isn't merely a financial decision; it represents a crucial move towards establishing autonomy in managing Islamic wealth, breaking free from the traditional reliance on Western financial institutions.
The burgeoning landscape of Islamic banking calls for the development of cutting-edge services by banks and financial institutions. Key among these are custodial services and transaction banking, which must embody trustworthiness and authenticity. The imperative is clear: to create a robust framework that aligns with Islamic principles while meeting the contemporary demands of the financial world.
To materialize this vision, financial centers like the Dubai International Financial Centre, Qatar Financial Centre, Astana International Financial Centre, and analogous jurisdictions should serve as the foundation for housing Islamic financial enterprises. By strategically utilizing these centers, Islamic finance can establish its presence as a formidable force in the global economic arena.
Contrary to a stance against integration into global financial markets, the focus lies on exerting greater influence and control over the management of Islamic wealth. The objective is to ensure that these funds are strategically invested in assets located within the Muslim world. This approach is not isolationist but rather a pragmatic step towards safeguarding and nurturing the economic interests of Islamic nations.
Supporting Islamic banking and finance is, fundamentally, a declaration of economic independence. It signifies a move away from the dominance of Western financial institutions and towards self-reliance. By fostering state-of-the-art financial services within the Islamic framework, nations can reshape the narrative surrounding Islamic wealth management. This, in turn, fosters an environment where economic decisions are made with cultural and ethical considerations at the forefront.
The call to support Islamic banking and finance gains resonance when viewed in the context of the current global scenario. Amidst geopolitical uncertainties, diversifying economic strategies becomes imperative. Relying solely on conventional financial systems can leave nations vulnerable to external pressures. Islamic banking emerges as a viable alternative, providing stability and resilience to financial ecosystems.
Moreover, by embracing Islamic finance, nations are presented with an opportunity to reshape the narrative surrounding wealth distribution. This model inherently encourages a more equitable distribution of resources, aligning with Islamic principles of social justice. As the world grapples with economic disparities, Islamic banking emerges not only as a financial strategy but also as a path towards fostering economic inclusivity.
In conclusion, supporting Islamic banking and finance is not just a choice; it is a strategic imperative for nations navigating the complexities of the contemporary financial landscape. By bolstering the capabilities of Islamic financial institutions, nations can assert control over their economic destinies, fostering a future where wealth management aligns seamlessly with cultural and ethical values.
The author is the Managing Director & CEO of National Bank Limited. He is a fellow member of the Institute of Cost & Management Accountants of Bangladesh (ICMAB) and the first Certified Sustainability Reporting Assurer (CSRA) in Bangladesh. He is also a post-graduate diploma from the Institute of Islamic Banking & Insurance (IIBI), United Kingdom.
Messenger/Fameema
