Governor Bank Daulat Pakistan Dr. Raza Baqir has been appointed Chairman of the Council of Islamic Financial Services Board (IFSB) Malaysia for the year 2022.
Dr. Raza Baqir’s appointment was approved at the 39th meeting of the IFSB Council in Abu Dhabi, UAE on December 9, 2021, before he served as Deputy Chairman of the IFSB Council for the year 2021. had been.
Dr. Raza Baqir will also serve as the Chairman of the IFSB General Assembly for the year 2022. The General Assembly is the representative body of all the members of the IFSB, namely, full members, associate members and observer members.
Speaking on the occasion, the Governor SBP said that it is a great honor for me to be the Chairman of the IFSB Council. He thanked the members of the Council for their self-confidence. He expressed his sincere gratitude to the Governor of the Central Bank of the United Arab Emirates Khalid Mohammed Al-Tamimi for his kind guidance.
The Governor SBP said that with the cooperation of its fellow council members, IFSB has been able to achieve its mandate and enhance the global Islamic financial sector in accordance with the IFSB’s Strategic Performance Plan 2022-24. We are committed to providing quality scholarly guidance.
Raza Baqir said that IFSB is also committed to make it a highly progressive and strong determining body at the global level.
What is IFSB?
It is pertinent to mention here that the (Islamic Financial Services Board) IFSB Council is the Senior Executive and Policy Making Body of the IFSB. Leading senior executives involved in regulatory and oversight over Islamic finance, the IFSB currently has 187 members, comprising 81 regulatory and oversight authorities, 10 international and intergovernmental organizations, and 96 market parties operating in 57 regions (financial institutions, Consists of professional firms, industry associations and stock exchanges).
Among other things, the Council is mandated to formulate and approve IFSB policies and strategies, and to authorize and approve IFSB bylaws and to issue them prudential and oversight standards.
Founded in 2003 in Kuala Lumpur, Malaysia as an international standards-setting body, the IFSB has so far issued 24 standards, seven guidelines and three technical notices on various sectors of the Islamic financial services industry. Areas include risk management, capital adequacy, oversight, transparency and disclosure, sharia governance and corporate governance.
The total financial value of the Islamic financial services industry (Islamic banking, Islamic capital markets and Takaful) is estimated to be 2. 2.70 trillion by 2020, according to the IFSB Global Stability of Islamic Financial Services 2021 report.
The SBP has adopted various IFSB precautionary standards and guidelines in the past years to strengthen the regulatory and oversight infrastructure of Islamic banking following the necessary cuts in the existing local legal and regulatory environment. As a founding and full member of the IFSB, he has played an active role in achieving the goals of the IFSB through his representation in various forums.
There are currently 5 comprehensive Islamic banks and 17 traditional banks operating in Pakistan with separate branches of Islamic banking, offering a variety of Shariah-compliant solutions. And the market share of deposits was 17% and 18.7% respectively, while the number of branches of Islamic banking institutions is 3583 and the number of windows is 1562.