Islamic banking, Islamic finance, or Sharia-compliant finance is banking or financing activity that complies with Sharia and its practical application through the development of Islamic economics. Some of the modes of Islamic banking/finance include Mudarabah, Wadiah (safekeeping), Musharaka, Murabahah (cost-plus), and Ijara (leasing).
The Central Bank of Malaysia is the Malaysian central bank. Established on 26 January 1959 as the Central Bank of Malaya, its main purpose is to issue currency, act as banker and adviser to the government of Malaysia and regulate the country's financial institutions, credit system and monetary policy. Its headquarters is located in Kuala Lumpur, the federal capital of Malaysia.
Islamic banking in Malaysia began in September 1963 when Perbadanan Wang Simpanan Bakal-Bakal Haji (PWSBH) was established. PWSBH was set up as an institution for Muslims to save for their Hajj expenses. In 1969, PWSBH merged with Pejabat Urusan Haji to form Lembaga Urusan dan Tabung Haji.
Malayan Banking Berhad is a Malaysian universal bank, with key operating "home markets" of Malaysia, Singapore, and Indonesia. According to the 2020 Brand Finance report, Maybank is Malaysia's most valuable bank brand, the fourth top brand in amongst the Asean countries, and ranked 70th in the world’s most valuable bank brands.
The International Islamic University Malaysia, also known as IIUM, is a public university in Malaysia. Headquartered in Gombak, Selangor, IIUM has six other campuses all over Malaysia: two medical-centric campuses and a Centre for Foundation Studies in Gambang, Pahang, two city campuses in Kuala Lumpur, and a language and tourism campus in Pagoh, Johor.
Takaful is a co-operative system of reimbursement or repayment in case of loss, organized as an Islamic or sharia-compliant alternative to conventional insurance, which contains riba (usury) and gharar.
Ahmad Ibrahim Kulliyyah of Laws (AIKOL) is the law faculty of International Islamic University Malaysia. Previously known as the Kulliyyah of Laws, it was renamed in 2000 in honour of its founding father and ex-Dean, professor Ahmad Mohamed Ibrahim. Being the first Kulliyyah (faculty) to be formed together with the university, it is now one of the largest law schools in Malaysia and has produced thousands of law graduates since 1983: legal practitioners, shariah lawyers, academicians, legal advisors, deputy public prosecutors, judiciary members, ministers and politicians. The current Dean is Professor Dr. Farid Sufian bin Shuaib.
Humayon Dar is the director general of the Cambridge Institute of Islamic Finance, a research institute specializing in the financial sectors of the countries with significant proportion of Islamic banking and finance.
INCEIF UNIVERSITY was set up by Bank Negara Malaysia in 2005 to develop human capital for the global Islamic finance industry. Commonly known as INCEIF – The Global University of Islamic Finance, it is the only university in the world dedicated to Islamic finance. INCEIF is part of Malaysia's initiative to promote education in Islamic finance for the domestic and international finance community.
A Sharia Board certifies Islamic financial products as being Sharia-compliant. Because compliance with Sharia law is the underlying reason for the existence of Islamic finance, Islamic banks should establish a Sharia Supervisory Board (SSB) to advise them on whether their products comply, and to ensure that their operations and activities comply with Sharia principles. There are also national Sharia boards in many Muslim majority countries that regulate Islamic financial institutions nationwide.
Banking or banking activity that complies with Sharia —known as Islamic banking and finance, or Sharia-compliant finance—has its own products, services and contracts that differ from conventional banking. Some of these include Mudharabah, Wadiah (safekeeping), Musharakah, Murabahah, Ijar (leasing), Hawala, Takaful, and Sukuk.
The Malaysia International Islamic Financial Centre (MIFC) is an initiative of Malaysia’s financial market regulators and relevant government agencies dedicated to developing Malaysia’s Islamic finance market by engaging with industry and government. The initiative was launched in 2006 and is based in Kuala Lumpur, Malaysia.
Rizwe Mohammed is the President of All Ceylon Jamiyyathul Ulama. Since 2003, Mufti M.I.M. Rizwe has been the President of All Ceylon Jamiyyathul Ulama (ACJU), the supreme body of Islamic Theologians in Sri Lanka, inaugurated in 1924, incorporated by the Parliamentary Act No. 51 of 2000.
International Shariʽah Research Academy for Islamic Finance (ISRA) is an Islamic finance research institution in Malaysia that focuses on sharia-related issues
Etiqa is a leading insurer and takaful operator in ASEAN. A member of the Maybank Group, it offers a full range of life and general insurance policies, as well as family and general takaful plans via more than 10,000 agents, 46 branches, 17 offices, a bancassurance network comprising over 490 branches, cooperatives, brokers and online platforms across Malaysia, Singapore, Indonesia, Philippines and Cambodia. Etiqa is also the leading digital insurance/Takaful player in Malaysia with over 55% market share of online premium/contribution in the past three consecutive years. Etiqa is also the leading bank assurance player in Malaysia, a leader in Digital Life Insurance in Singapore and a leading Group Medical insurer in the Philippines.
Muhammad bin Ibrahim was the 8th Governor of the Central Bank of Malaysia. He assumed the office of Governor on 1 May 2016, succeeding Zeti Akhtar Aziz. He tendered his resignation on 6 June 2018.
Asyraf Wajdi bin Dusuki is a Malaysian politician who has served as Chairman of the Majlis Amanah Rakyat (MARA) since March 2023. He served as Deputy Minister in the Prime Minister's Department in charge of Islamic affairs in the Barisan Nasional (BN) administration under former Prime Minister Najib Razak and former Minister Jamil Khir Baharom from July 2015 to the collapse of the BN administration in May 2018 as well as Senator from May 2014 to his resignation in April 2018. He is a member of the United Malays National Organisation (UMNO), a component party of the BN coalition. He has also served as the Secretary-General of UMNO since March 2023 and also served as the 14th Youth Chief of UMNO from June 2018 to March 2023 and President of the Islamic Da'wah Foundation of Malaysia from June 2013 to July 2015.
Muamalat is a part of Islamic jurisprudence, or fiqh. Sources agree that muamalat includes Islamic "rulings governing commercial transactions" and Majallah al-Ahkam al-Adliyyah).
Dr. Shariq Nisar is an Indian finance professional, academic and activist. He received PhD in economics from Aligarh Muslim University, one of the oldest universities in India. He co-founded TASIS, a shariah advisory institution, related to finance, based in Mumbai, that screens stocks for Shariah compliance. His first major work was the launch of India's first Shariah Index in association with the Bombay Stock Exchange. Later on he worked with the National Stock Exchange to launch Shariah index for them. He is advisor to Kerala Government's Islamic Finance venture Cheraman Financial Services Ltd. He also helped Government of India owned General Insurance Corporation of India establish its Retakaful division in 2009. During 2013 and 2014, he served as a senior visiting fellow at Harvard Law School. He was invited to share his views before the Select Committee of Indian Parliament on the Insurance Laws (Amendment) Bill (2015). He served as a non-executive independent director at Octaware Technologies from November, 2015 to December 2018, India's first shariah compliant publicly listed company. Dr. Nisar has also authored various books in the area of Islamic Finance with International as well as Indian perspectives. He has been awarded Bharat Inclusion Research Fellowship 2020.
