Financial Sector – Positioning for the Upturn
the Growth of Islamic Finance
The strong growth
of Islamic financial services reflects demand from
fast-growing markets in the Middle East and South-East
Asia. Singapore is well-positioned as a global financial
and business centre in Asia with growing connectivity
to the Gulf Cooperation Council (GCC) economies. MAS
aims to provide a conducive business environment to
the offering of Islamic financial products and services.
Regulations are fine-tuned, where appropriate, to
provide greater clarity, certainty and transparency
for financial institutions offering Islamic finance
services within our single integrated regulatory framework.
In April 2010, MAS issued a new banking regulation
to permit banks to offer Islamic project financing
(Istisna) in Singapore, thereby completing its planned
review of all major Islamic financing structures.
MAS remains committed to working with the industry
to refine our rules where needed to keep our regulatory
framework responsive and relevant. With the establishment
of the International Islamic Law & Finance Centre
by Singapore Management University (SMU), the growth
and innovation of Islamic finance in the region has
seen a further boost of support. The centre aims to
promote high quality research, training and professional
education in Islamic Finance.