IRTI organizesinternational workshop in Maldives on Islamic monetary economics
By DrAishathMuneeza
On the 1stand 2nd November 2017, IRTI in collaboration with Maldives Centre for Islamic Finance (MCIF) organized an international workshop ‘Islamic Monetary Economics and Institutions: Theory & Practice’, inaugurated by the Minister of Fisheries & Agriculture, Dr Mohamed Shainy with participants from eight different countries.
In hiskeynote speech,DrShainy mentioned the following achievements Maldives has witnessed in terms of implementing Islamic economic and financial system:
a. Introduction of an Islamic microfinance scheme ‘FaseyhaMadadu’ for the first time to assist the SME sector, under the administration of presidentYameen Abdul Gayyoom.
b. Only country in South Asia that deals with Islamic treasury instruments
c. Only South Asian country where women play an instrumental role in driving the Islamic finance industry. Female Shariah scholars have been given the liberty to act in the Maldives Islamic finance industry and in this regard hasthe highest female representation in Shariah advisory committees. Maldives is the only country in which the chairperson of an apex Shariah Advisory Council of a regulatory authority is headed by a female Shariah scholar
d. Aunique Shariah screening methodology of equities enacted as a regulation where it is mandatory for the company intending to become a white listed company to give any Shariah tainted income to charity. Maldives is the only country that has formulated this rule, therefore in this case, Shariah compliant shares listed in the stock exchange are not Shariah investable shares but in its true sense it is Shariah compliant shares
e. Issued a sovereign private Sukuk and two corporate Sukuk — the corporate Sukukstructure is unique to Maldives as the Sukuk structure used is a pure vanilla type of a MudarabahSukuk where the Sukuk is open for retail and corporate subscribers and directly deal with the company.
f. Established a dedicated Hajj pilgrimage fund-Maldives Hajj Corporation, the Tabung Haji of Maldives
g. DarulEman is the first Waqf project that was successfully implemented where the model was to build a building to lease it out so that the income received from it could be channeled to Mosque Cash Waqf fund. Due to this innovative method, the mosques in the country can be renovated in a self-sufficient manner without relying on the budget of the government.
h. With the assistance from IDB, Maldives has formulated the initial drafts of Zakat bill and Waqf regulations.
i. Halal certification for fisheries products are issued and the halal logo is acknowledged by the theMajlisUgama Islam Singapura (MUIS) and JAKIM of Malaysia
j. For the first time in its history, Maldives has embarked on a project to create the first Shariah compliant resort handled by MCIF
DrShainy concluded that President Yameen’s government will support the development and sustainability of Islamic finance not only in the domestic market but throughout South Asia via MCIF and beyond as the vision is to become the hub for Islamic finance in the region by setting an example to the rest of the world.
IFN Correspondent Report: Maldives
