2017-03-15 13:32:00

Kazakhstan's AIFC strives to create favorable environment for Islamic financial institutions

Alma-Ata, March 15, Interfax - Islamic financing is one of the five priority directions for Kazakhstan's Astana International Financial Center, AIFC head Kairat Kelimbetov said.

"The financial center is actively working on creating a favorable legal and regulatory environment for Islamic financial institutions," Kelimbetov said in Astana at the IFN CIS 2017 Forum, organized by AIFC together with the REDmoney Group.

General Manager of the Islamic Corporation for the Development of the Private Sector (ICD) Khaled Mohammed Al-Aboodi noted the high potential for Islamic finance in the CIS and stressed that Islamic finance allows for diversifying financing sources for infrastructure projects. He said that Islamic microfinance is the best poverty-reducing tool.

Kazakhstan has been working consistently to improve the legal framework for Islamic finance since 2009. The latest amendment regarding Sukuk and Conversion of a Conventional Bank to an Islamic Bank came into force in November 2015.