IFSB Holds Event on Fintech Innovation in Islamic Finance
IFSB organized the 11th Public Lecture on Financial Policy and Stability themed “Leveraging Technology for Value-Driven Innovation in Islamic Finance,” on April 30, 2019 in Malaysia, in conjunction with the IFSB Annual Meetings 2019. The meetings were co-hosted by Bangladesh Bank and BNM, with lectures and discussions focusing on the challenges faced by regulatory and supervisory authorities and industry with regard to fintech, regtech, and suptech. The Secretary-General of the IFSB, Dr. Bello Lawal Danbatta, accentuated on developments in technologies and business models and how both are fast changing the ecosystem of the financial services industry. The IFSB Annual Meetings 2019 ended on May 01, 2019.
The meetings included a lecture themed Fintech, Regtech, and Suptech and their Implications for Regulation and Supervision: A Regulators Perspective, which was delivered by Mr. Fahad Yateem, Director, Islamic Financial Institutions Supervision of CBB. He spoke extensively on the imperatives of leveraging the opportunities offered by technological development to enhance operational efficiency and to ensure the soundness, stability, safety, and sustainability of the financial system. He highlighted the role of the supervisory and regulatory authorities in this regard and alluded to the efforts and accomplishments of CBB, especially on the aspects of regulatory sandboxes for start-up fintechs, digitization strategy, and rules on regtech and suptech. He concluded his lecture noting that regulatory and operational challenges are arising from the use of technology and these could be mitigated through both internal coordination with domestic stakeholders and collaboration with international partners and organizations.
Another lecture on Balancing between Sharia’h Compliance and Technology Driven Growth: A Shariah Scholar’s Perspective had two presentations. The first presentation was delivered by Datuk Dr. Mohd Daud Bakar, Founder and Chairman, Amanie Holdings, who offered insights into the possible synergy between smart technology and Sharia’h in Islamic finance. The second presentation was delivered by Mr. Ashraff Gomma Ali, Regional Head, Sharia Advisory and Governance, CIMB Islamic Bank, Malaysia. He concluded with the view that as long as the principle of the Shari’ah to minimize hardship and maximize benefits is adhered to, a balance between Sharia’h and technology driven growth in Islamic finance can always be achieved.
Related Link: Press Release
Keywords: International, Banking, Securities, Fintech, Regtech, Suptech, Regulatory Sandbox, Islamic Finance, Financial Stability, IFSB
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