Astana Islamic Economy Forum (AIEF) 4 July 2018 Astana, Kazakhstan IFSI STABILITY REPORT 2018 Astana Islamic Economy Forum (AIEF) 4 July 2018 Astana, Kazakhstan Dr Bello Lawal Danbatta Secretary General

IFSB ISLAMIC FINANCIAL SERVICES INDUSTRY STABILITY REPORT Platform for the IFSB to engage on topical issues with its stakeholders and for sharing findings of recent IFSB standards, research, and other publications The Report seeks to highlights and analyse issues that pose current and future challenges to the stability of the global Islamic finance services industry especially in IFSB’s member jurisdictions

DATA SOURCES A key feature of the Report is it utilises data from the IFSB’s Prudential and Structural Islamic Financial Indicators (PSIFIs) database for the Report’s Islamic banking sector analysis. The use of this data enriches the Report by providing: Enhanced reliability of data which is collected directly from regulatory and supervisory authorities of respective jurisdictions Provides wider geographical coverage, with data covering 21 countries comprising approximately 98% of global IFSI assets (covering Islamic banking, takaful and Islamic capital markets) Holistic assessment of industry’s resilience with over 50 indicators for various sectors that take into account unique characteristics of Islamic finance

GLOBAL ISLAMIC FINANCE ASSETS The Report provides an analysis of trends in the growth and development of the Islamic banking, Islamic capital markets and Takaful sectors Breakdown of Global IFSI by Sector and by Region (USD billion, 2017) After two years of marginal increases, the IFSI returned to strong growth of 8.3% and its total worth slightly surpassed the USD 2 trillion mark

ASSESSMENT OF THE RESILIENCE OF THE ISLAMIC FINANCIAL SYSTEM The Report provides an assessment of the resilience of the Islamic financial system ..technical analysis of selected soundness indicators for the three sectors Identifies the main risk factors and vulnerabilities facing the IFSI in the context of current global economic conditions…. …..and highlights the relevant issues for policy planning and remedial initiatives by the industry stakeholders

EMERGING ISSUES IN ISLAMIC FINANCE The Report highlights selected emerging issues in Islamic finance…. The 2018 report looks at the: ….providing a comprehensive analysis of the diversity of the legal infrastructure and Sharīʿah governance frameworks as applied in various jurisdictions. Legal Infrastructure and Sharīʻah Governance Framework

PREVIOUSLY COVERED EMERGING ISSUES… IFSI SR 2017: Fintech and Islamic Finance; and Stress Testing for Islamic Banks IFSI SR 2016: Cross-Sectoral Links, RCAP and AML/CFT IFSI SR 2015: Financial consumer protection in Islamic finance IFSI SR 2015: Global Islamic finance database for financial stability IFSI SR 2014: New Markets, New Frontiers: Prospects and Role of Islamic Finance In Africa IFSI SR 2013: Consumer protection, Microfinance, Financial Inclusion and Responsible Investment

BOX ARTICLES International Islamic Liquidity Management Corporation Collaboration with other organizations: Box articles contributed by….. International Islamic Liquidity Management Corporation …. on regulators’ response towards specific market enhancement: A case study of the IILM Autoriti Monetari Brunei Darussalam …. on the development of Islamic finance in Brunei Darussalam Central Bank of Oman ….on the development of its Islamic banking sector

Link to download the report https://www.ifsb.org Thank you