Thursday 8 October 2015

Arab Monetary Fund and International Islamic Liquidit Management Corp to promote financial inclusion in the Arab world

The Arab Monetary Fund and International Islamic Liquidity Management Corporation (IILM) have agreed to cooperate with an MoU that will allow the two parties to launch joint activities and programmes that help support economic development, opportunities, as well as to promote financial inclusion in the Arab region.

The two institutions will work together to provide technical support services and to build capabilities to develop the Islamic finance industry. The Arab Monetary Fund will contribute its expertise on the region, while the IILM will facilitate liquidity management for institutions that offer Islamic financial services.

Professor Datuk Rifaat Ahmed Abdel Karim, Chief Executive Officer of the IILM said, “This collaboration is in line with the objectives of the IILM to facilitate liquidity management for Islamic financial services in the Arab region thereby enhancing their resilience and ability to meet future economic challenges. The development of a systemic shari’ah-compliant liquidity management infrastructure, accepted across multi - jurisdictions in which Islamic financial services operate, is instrumental towards ensuring sustainable financial stability.”

HE Dr Abdulrahman Al Hamidy, Director General Chairman of the Board, Arab Monetary Fund, said that that the signing of this memorandum is within the framework of the Fund's interest to develop its activities and programmes in the field of Islamic finance and financial inclusion. Furthermore the MoU attempts to consolidate relations with institutions and related bodies especially with the IILM and its role in supporting the opportunities of the development of Islamic industry.

The Arab Monetary Fund works to strengthen the foundations of monetary integration of the Arab economies, and provides financial and technical support for economic and financial reforms undertaken by the Arab countries to support the development and improvement of growth opportunities. On the other hand, the IILM aims to assist in the development of the Islamic finance industry by facilitating liquidity management for institutions that offer Islamic financial services.