Labuan IBFC, ASAS create more awareness about Islamic finance

Source: Labuan IBFC. Representatives from Labuan IBFC, Labuan Financial Services Authority (FSA) and ASAS at the training programme.

Labuan International Business and Financial Centre (Labuan IBFC), together with the Association of Shariah Advisors in Islamic Finance Malaysia (ASAS), recently hosted a training session highlighting opportunities in Islamic finance, encompassing shari'ah-compliant fintech, captive and cross-border wealth management solutions within Labuan IBFC.  

The hybrid event gathered Islamic finance professionals and shari'ah advisers from Malaysia and abroad to explore Labuan IBFC's proposition as global business hub offering Islamic finance solutions. Participants gained key insights into the digital acceleration of Islamic finance and its innovative financial structures. 

In opening remarks on the day of the event, Tn. Haji Makhtar Abdullah, CEO of ASAS commented: "The future of Islamic finance will depend not only on products and regulations, but also on the quality, integrity, and commitment of the talents who guide the industry forward. Therefore, I hope today's programme will serve as a catalyst that inspires all of us, as ASAS members, to continue contributing our shari'ah knowledge and expertise towards strengthening the Islamic finance ecosystem."  

Ben Quah, CEO of Labuan IBFC, underscored Labuan IBFC's position as Asia's premier international financial hub in a keynote. "Labuan IBFC's robust Islamic finance framework has successfully positioned the jurisdiction as a leading global hub in this sector. Consequently, we are confident that this collaboration with ASAS will further accelerate and advance the Islamic finance agenda," he said.

The main session focused on the Islamic Digital Asset Centre (IDAC), which drives Islamic digital finance beyond Labuan IBFC. Emerging opportunities exist in digital banking, fintech innovation and broader digital financial services, delegates learned. 

The session also underscored the growing relevance of captive takaful structures as a strategic tool for risk management and cost optimisation. 

Labuan IBFC begins ASEAN roadshows with session on shari'ah-compliant solutions

Labuan International Business and Financial Centre (Labuan IBFC), Asia Pacific’s midshore international business and financial centre, has launched a series of roadshows across ASEAN.

The Labuan IBFC ASEAN Roadshow 2016 will visit key countries in ASEAN and, for the first time will include events as well as closed door briefings in the emerging economies of Cambodia, Laos, Vietnam and Myanmar. The roadshows have kicked off in Jakarta, Indonesia, will continue through till end-July.

“Our approach to the roadshow this year is distinct as we are targeting business owners in the region looking to internationalise or even regionalise their businesses. We believe that with as businesses embrace higher tax transparency requirements, it would be natural for them to consider to establishing substance in a well-regulated jurisdiction facilitate cross border transactions and investments.” said Danial Mah Abdullah, Chief Executive Officer, Labuan IBFC.

He went on to state that the roadshow will also focus in meeting the wealth management needs in the region, adding that as ASEAN has a large Muslim population, the Jakarta chapter of the roadshow focuses on shari'ah-compliant wealth management solutions.

Themed Innovative Solutions towards Islamic Wealth Management the kickoff masterclass was aimed at Indonesian service providers, intermediaries and high net worth individuals who are looking to better understand shari'ah-compliant wealth management offerings, wealth preservation and succession planning solutions.

Mah, who is also the Deputy Director General of Labuan FSA, said, “What makes Labuan IBFC different is that it was established with the main aim of intermediating crossborder trade and investments in the region. The expectations are that intra-Asia and ASEAN trade and investments will grow, and there is a need for a well-regulated jurisdiction in the region able to facilitate these trades and investments. ”

The masterclass included a presentation on the Labuan International Waqf Foundation, a shari'ah-compliant wealth management tool, which incorporates the element of waqf* (وقف‎) in its structure.

Labuan IBFC is the only jurisdiction in the region offering foundation structures including Islamic foundations with waqf elements built in.

The event also included a panel session titled Opportunity and Challenges: Islamic Wealth Management in Asia with Dr Aida Othman, Director at ZICO Law Shariah Advisory Services, Maikel Sajangbati, CEO and Founder of MaeSa Consulting Indonesia as well as Aderi Adnan, Business Development Director of Labuan IBFC.

The panel focused on the new Islamic wealth management environment in light of more stringent global regulatory requirements, evolving Islamic wealth management strategies amidst changing family legacy mindsets, experiences and cultural differences in Asia.

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*Waqf refers to a donation made for a religious, educational or charitable cause.

posted from Bloggeroid

Labuan IBFC reports strong performance for Islamic finance in 2014

Labuan International Business and Financial Centre (Labuan IBFC), Asia Pacific’s midshore international business and financial centre, reported strong performance across all financial sectors in 2014, including banking, insurance, leasing, wealth management and Islamic finance, with 12.3% increase in new company registrations compared to the previous year.

The organisation notes that 70% of companies registered in Labuan IBFC originate from Asia, with 57% from Southeast Asia, mainly Indonesia, Malaysia, Singapore and Thailand.

“Labuan IBFC has its strengths in terms of its proximity to strategic Asian markets and sound regulatory framework, with simple as well as competitive tax system. With our balanced supervisory and regulatory framework coupled with our strategic location in the heart of Asia Pacific, we believe Labuan IBFC stands out as the ideal ‘midshore’ jurisdiction from which to base regional business operations for both trading and investment purposes,” said Danial Mah Abdullah, Chief Executive Officer at Labuan IBFC.

In the wealth management sector, Labuan IBFC foundations are increasingly used as wealth preservation solutions. There was an almost 40% increase in the number of Labuan IBFC foundations established in 2014 compared to the previous year, with 73% of them originating from Asia.

While wealth management is one of the core offerings of Labuan IBFC, the business and financial centre also carries out all aspects of business and financial activity ranging from banking and insurance to Islamic financial services.