CBN urges Islamic financial institutions on innovative products
The Central Bank of Nigeria (CBN) has urged Islamic financial institutions in the country to advantage of the friendly regulatory environment in the country to develop competitive and innovative products within the context of Sharia.
CBN Governor, Mallam Sanusi Lamido Sanusi gave the charge yesterday at the National Conference on Islamic Banking and Finance in Nigeria organised by Sheikh Nsir Kabara Research Centre in Abuja.
The CBN he said believes that by developing competitive and innovative products Islamic financial institutions will make positive impact on the market through the creation of non-interest financial institutions and instruments.
Sanusi then called on Islamic financial institutions to create more awareness about the Islamic financial products as an alternative finance option in order to help in the realisation of on-going Financial System Strategy Initiative of financial inclusion.
He said Islamic financial institutions have demonstrated their potential to support financial inclusion in many countries by bringing large numbers of hitherto unbanked and underbanked populations especially Muslims into the organised financial sector.
He said: “The efficacy of the Islamic finance in attracting liquidity to national economies especially through the Sukuk instruments structured for infrastructure development has also shown the contribution that Islamic finance can give to developing economies in building their much needed infrastructure.”
According to him, as a result of this, the CBN in conjunction with other institutions have brought together a technical team to explore the prospects of alternative modes of finance and set out the procedures for using the modes in the development of infrastructure.
The post CBN urges Islamic financial institutions on innovative products appeared first on The Nation.
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