Islamic finance industry shows solid performance while mainstream finance falters
‘In a time when the words inflation and credit crunch have dominated conversation on the banking industry and stock markets, the Islamic finance industry has gone against the tide and continued to show rock solid performance’, says Paul McNamara, Managing Editor and Associate Publisher of CPI Financial, which publishes Islamic Business & Finance magazine and organizes the magazine’s annual Awards.
‘Where global financial institutions have mostly announced shortfalls in their investment programmes in recent months, the current credit crunch seems to have passed over the Islamic finance industry with minimal damage,’ he continued.
‘This is mostly due to the intrinsic nature of Islamic finance – the thorough screening process, greater transparency and the need to understand the nature of the investment rather than just focusing on returns, to ensure its Shari’ah compliance. Having to answer to a Shari’ah board ensures that the source and location of the original instrument is clearly known and avoids the practice of repackaging and reselling investment products that is commonplace with mainstream investments.’
The Awards ceremony, which will take place on 12th December in Dubai, will not only rate Islamic finance organisations from across the world, but also honour outstanding professionals through awards for ‘Islamic Banker’, ‘Lifetime Achievement’ and ‘Outstanding Contribution’.
The Awards were launched in 2005 in response to the phenomenal growth of the Islamic finance industry, currently estimated at $500 billion in value. They are currently the recognised Industry Awards across the globe, and are hosted in a different country of the GCC and other Islamic finance capitals every year.
Readers of Islamic Business & Finance magazine from across the world have completed casting their votes for winners from a shortlist created by a judging panel of rating and consulting organisations. Following analysis of the voting results, final winners will be announced at the 12th December ceremony in Dubai.