Bank Negara launches Educator's Manual on Shariah standards

Bank Negara Malaysia (BNM) today launched the Educator's Manual (EM) on Shariah standards and operational requirements in accordance with the Murabahah principle.

BNM Governor Datuk Muhammad Ibrahim, in launching the EM, said the manual serves as an important learning material towards enhancing the quality of Islamic finance education in the country.

He said with Islamic finance becoming a key segment in the Malaysian financial system, the manual is intended to assist the teaching faculty to infuse relevant practical elements of Murabahah contract implementation into the current academic syllabus.

"From less than four Islamic banks and takaful players before year 2000, there are now 27 players that offer over 500 financial products beyond the basic financial offerings. Malaysia is now positioned at the forefront of international developments with increasing connectivity between financial centres, and more cross-border Islamic financial transactions," Muhammad said in his speech during the launch at Lanai Kijang here today.

He added that the future growth of Islamic finance, especially cross-border is very much dependent on the harmonisation and mutual recognition of Shariah views and rulings across the globe.

The launch, which coincided with Muhammad's 100th day in office, was witnessed by Higher Education Ministry deputy director-general Datuk Prof Dr Roziah Omar.

The manual was developed by BNM together with the International Shari'ah Research Academy for lslamic Finance (ISRA) and the Islamic Banking and Finance Institute Malaysia (IBFIM). A panel of 20 experts in various fields contributed to its content.

Universiti Sains Islam Malaysia and International Islamic University Malaysia have agreed to be the pilot strategic partners in adopting the manual.

Of 14 Shariah standards that developed by BNM, Murabahah is the first series of the manual launched, while that of other contracts will be developed gradually.

Additionally, the central bank will form a steering committee made up of representatives from both industry and academia as part of its efforts to re-energise and reinvent the Islamic finance talent development landscape.