Bahrain's IIFM and TKBB sign MoU on participation banking sector

PHOTO

MANAMA: The International Islamic Financial Market (IIFM), a Bahrain-based standard-setting body, and the Participation Banks Association of Turkey (TKBB) have signed a memorandum of understanding (MoU) to collaborate on areas of common interests for the development of the participation banking sector in Turkey and internationally.

IIFM issues Sharia-compliant financial contracts and product confirmation standards as well as related guidance notes which provide the market participants with legally robust, operationally efficient and Sharia strong set of documentation templates.

TKBB was established in 2001 with a mandate to represent and support the development of the participation banking sector both locally and internationally and contribute to the efforts of raising the sector’s market share, develop professional principles and standards, and protect the rights and interests of participation banks in Turkey.

The agreement was signed by IIFM chief executive Ijlal Alvi and TKBB Acting Secretary-General Ismail Vural.

The MoU will facilitate translation of IIFM standard agreements into Turkish language which will complement TKBB’s national level Sharia Standards and will benefit the participation banking community in Turkey as well as the cross-border market.

The MoU will also enable regular exchange of information between the two bodies and aim for both organisations to work together in increasing awareness by way of joint awareness events, workshops and other capacity building initiatives.