Islamic Finance Looks To Growth Opportunities In Africa

The 3rd Annual Islamic Banking Summit Africa (IBSA Djibouti 2014), which opened today at the Djibouti Palace Kempinski, saw more than 200 leaders in the international Islamic banking and finance industry engage in detailed discussions that focused on ‘capturing the Africa opportunity in Islamic finance’. The two-day event, being orgainzed by the Central Bank of Djibouti, began with an inaugural address by H.E. Ahmed Osman, Governor of the Central Bank of Djibouti.

special Presidential Address was delivered by H.E. Ismail Omar Guelleh, President of the Republic of Djibouti, on Islamic Finance as a Strategic Priority to Boost Economic Development in Africa.

HE Ahmed Osman, Governor of the Central Bank of Djibouti highlighted that, “Africa offers exciting growth prospects and, according to projections, seven out of the 10 fastest growing economies in the world will be in Africa. Growth drivers on the continent are becoming increasingly diverse, with the resource-based, the infrastructure construction and services sectors taking the lead. Islamic finance has tremendous potential to play a more significant role in supporting the funding gaps in Africa while enhancing financial inclusion rates in the region. According to reports, the Islamic banking segment in Africa is set for major growth driven by Africa’s large and under-served Muslim population and increasing awareness of Shari’ah-compliant products. In addition, Islamic finance provides government institutions with an alternative financing mechanism to support capital expenditure needs. Islamic finance’s close connections to the real economy will also set the stage for significantly stronger growth of the industry in Africa.

“Through a number of key initiatives, the Central Bank of Djibouti has established Islamic finance as a key constituent of the economic system in Djibouti. The Central Bank of Djibouti is delighted to host the 3rd Annual Islamic Banking Summit: Africa (IBSA Djibouti 2014). Since its launch, the conference has gone on to establish itself as the key international forum that supports the growth of Islamic finance in Africa. IBSA Djibouti 2014 provides a high-profile platform to specifically focus on the opportunities that are forging the Islamic banking, finance, and investment landscape in Africa.”

The inaugural address was immediately followed by a keynote session on the International Initiatives to Promote Islamic Finance in Africa, which featured Abdelilah Belatik, Secretary General, General Council for Islamic Banks and Financial Institutions (CIBAFI); and Farid Masmoudi, Director of the Business Development and Partnerships Department of the Islamic Corporation for the Development of the Private Sector (ICD), the private sector arm of the Islamic Development Bank Group.

IBSA 2014 hosted a power debate featuring Fadi Salim Al Faqih, Chief Executive Officer, Bank of Khartoum; Nur A Mohamed, General Manager, Salaam African Bank; Muhammad Kashif, Chief Operating Officer, Dahabshil Bank International; and Cassim Docrat, Director of DDCAP (DIFC) Limited.

Originally published on www.cpifinancial.com