Bahrain FinTech Bay (BFB) has launched the Global Islamic & Sustainable FinTech Center (GISFC) with local, regional and international members. The aim is to bolster the use of fintech to drive the next phase of growth in Islamic finance, according a report in Trade Arabia.
GISFC builds on BFB’s diverse network of local, regional and international partnerships. The launch of the GISFC reaffirms Bahrain’s distinguished position as the global leader in Islamic finance and banking.
GISFC’s launch partners include (but are not limited to) banking partners including Kuwait Finance House, Al Baraka Banking Group, and Al Salam Bank. Other partners include among others the Accounting and Auditing Organization for Islamic Financial Institutions (AAOIFI), the Islamic Corporation for the Development of the Private Sector (ICD), South-East Asia’s Islamic Fintech Alliance, Arab Financial Services, Arcapita, Bahrain Institute of Banking and Finance.
GISFC aims to onboard more partners as it seeks to drive the Islamic and sustainability FinTech development agenda and to focus on providing thought leadership and expertise in shariah compliant fintech.
Globally, major centres of Islamic finance have been undergoing regulatory reforms and introducing initiatives such as regulatory sandboxes to encourage further innovation in their ecosystem. These innovations are aimed at acquiring new customers and achieving long term growth.
Additionally, sustainability has become a central and strategic focus for financial institutions worldwide.
Dr Ali Adnan Ibrahim has been appointed as chairman of GISFC. He is the head of Sustainability & Social Responsibility at the Al Baraka Banking Group in Bahrain and is also a World Economic Forum Young Global Leader. He leads the Social Credits Initiative, which combines finance and technology to incentivize private investments for sustainable development and is Chair of the Sustainable Development Committee of the Bahrain Association of Banks.
Khalid Saad, CEO of Bahrain FinTech Bay, said, “Islamic finance has the potential to onboard over a billion new customers through the use of technology, helping attain sustainable and long-term growth.”
He added that the world is increasingly shifting towards innovation that promotes sustainability.
The launch of GISFC aims to bring together key stakeholders in the industry to help shed light on how FinTech can help attain such growth in a sustainable and responsible manner. As a leading regional FinTech and global Islamic finance hub, Bahrain is at the forefront of driving Islamic and sustainable Fintech.
According to Bahrain Fintech Bay’s statement, “Islamic finance and sustainability share a huge common ground. While Islamic finance is fast approaching the three trillion dollar mark, sustainability is one of history’s biggest disruptors.”
Islamic and sustainability FinTech solutions can help solve several social and economic challenges. These solutions are aimed at creating massive economic value including investment opportunities for individuals and businesses.
“Bahrain’s Fintech and Islamic finance regulatory ecosystem can help Islamic and sustainability fintech startups from the region and beyond, building on Bahrain’s position as a global centre for Islamic and sustainable fintech.”