IFN OnAir

• Inflation, a rising interest rate environment and the implications for potential issuers of Islamic capital market products.
• What do these factors also mean for the outlook of the global Shariah compliant investment community?
• Evolving Shariah compliant fund and collective investment schemes; ETFs, Sukuk, leasing and trade finance funds.
• The outlook for Shariah compliant direct real estate investment and private equity.
• Beyond listed Sukuk: what are the opportunities presented by the private placement market?
• What options do hybrid or combination Sukuk offer issuers, particularly in asset-heavy industries such as oil and gas, and aviation?
• How do Tier 1 and Tier 2 Sukuk offer financial institutions a flexible, efficient and user-friendly way of satisfying regulatory capital requirements, and what do perpetual Sukuk structures offer such issuers?
• Developing the global Sukuk market: regulation, hedging, risk and liquidity management instruments.
• Pertinent operational issues for the Islamic capital markets: solutions surrounding the transition to risk-free rates.
• Latest thinking on the application of the Murabahah structure to capital markets, with relevance to AAOIFI standards.
• With the demise of LIBOR, is SOFR a good alternative for the Islamic capital market?
• The potential for regional issuance hubs.

Nick Heuzenroeder, CEO of Haven Wealth, talks about the Australian Islamic investment landscape and Takaful market, as well as his company’s plan to launch a Sukuk fund and an Islamic insurance product this year, in this episode of IFN Podcast with news editor Nessreen Tamano.

With the emergence of the first Shariah compliant balanced fund in Singapore to use quant investing technology and ESG screening in Singapore, what is the potential for the development of further such collective investment products in the republic? What opportunities does MAS’s Green & Sustainability Linked Loan Grant Scheme offer corporates moving towards sustainable practices, and does Islamic finance and investment have a role to play? Is there demand for a Shariah compliant home financing solution in Singapore and what is needed to create the momentum for the development of such a product? With a reputation for innovation in verticals such as payment systems, what does Shariah compliant financial technology have to offer in Singapore and what are future areas of competitive advantage? How can Singapore extend the provision of Islamic social finance and does Waqf offer an interesting opportunity? We seek the views of an expert panel.

Zhulkarnain Abdul Rahim, Member of Parliament, Singapore

What represents innovation in the Indonesian Sukuk market: pioneering structures, sourcing underliers, and the transition from ESG to Impact? What options do hybrid or combination Sukuk offer local issuers, particularly in asset heavy industries such as oil and gas, and aviation? How do Tier-1 and Tier-2 Sukuk offer financial institutions a flexible, efficient and user-friendly way of satisfying regulatory capital requirements, and what do perpetual Sukuk structures offer such issuers? How has innovation been incorporated into project and infrastructure finance, particularly regarding concession agreements, cash contributions and investor protection? With ESG and sustainability continuing to grow in the Islamic capital markets issuance, when will we see the measurement of impact? Are sufficient issuers engaging with independent, third parties to measure green, sustainable and social credentials? With the demise of LIBOR, is SOFR a good alternative for the local Islamic Capital Market? We seek the views of an expert panel.

The digitalization of Islamic financial services: what is working, what is viable, and what is not? What do the answers to these questions mean for the evolution of Islamic financial services in Indonesia? How do we evaluate key initiatives designed to modernize and digitally transform the national economy, including the Islamic financial services sector? How has regulation and promotion of Indonesian Islamic crowdfunding and peer-to-peer lending platforms created opportunities for the joint ownership of Shariah compliant assets and investment projects? What measures would assist domestic Islamic financial institutions in the further development of Islamic digital retail, wealth management, Takaful and pension offerings in Indonesia? What are notable milestones and achievements in the development of systems and software for Islamic banks and financial institutions? What technology is available to help Islamic financial institutions drive scale, integrity, efficiency and ultimately profitability? What are the potential uses and applications of digital assets in Indonesia’s financial markets today? What are the key risks and issues surrounding digital assets and what is the role of regulators in the development of an efficient digital marketplace in Indonesia? We ask an expert panel.

Why is a united regulatory response to climate risk so important for the financial services industry, and how do we evaluate initiatives that encourage investors to channel capital into sustainable economic activity, and guide government and quasi-government resource allocation towards climate transition and social responsibility? How do we address the implications of various taxonomies, frameworks and standards, and identify what can now be labelled green investments? How can potential green bond and Sukuk issuers successfully connect issues to internal sustainability frameworks? With ESG and sustainability continuing to grow in the Islamic capital markets issuance, when will we see the measurement of impact? Are sufficient issuers engaging with independent, third parties to measure green, sustainable and social credentials? Finally, can we further capitalize on the collaboration between sustainable finance and Islamic finance, and develop suites of investment products that satisfy both criteria?

We offer a critical analysis of the applicability of Islamic financial services to two vital, burgeoning sectors in Indonesia: The Halal economy, and social finance. How large is the Halal economy both domestically and internationally? What are the opportunities for servicing, supplying, financing and managing the Halal economy? Are companies within the Halal economy exclusively using Islamic financial services, and if not, why? What represents effective value chain analysis of the Halal economy and how do Islamic financial institutions position themselves to offer successful financing solutions? Why is social finance important and how can Islamic financial institutions play a role in its growth and development in Indonesia? In a post-pandemic world, what does social finance offer in terms of relief and renewal? How can Islamic social finance be used to stimulate enterprise, entrepreneurship, job creation, healthcare and education, and assist with liquidity and funding for the vital SME sector? With such goals in mind, how does the Islamic financial services sector design effective models and strategies, offer innovative products and measure the impact of these important initiatives?

Astera Primanto Bhakti, Director General of Fiscal Balance, Ministry of Finance, the Republic of Indonesia, Secretary General of the Indonesian Association of Islamic Economists (IAEI)

How should Pakistan further employ Shariah-based green and responsible financing solutions in response to important challenges such as limiting climate change, alleviating poverty, and driving financial inclusion? What does the evolution of green Sukuk mean for potential issuers in Pakistan? How can Pakistan encourage the development of effective Islamic sustainable funds and investment products? Finally, what is the potential for private sector financing of Shariah-based green infrastructure projects in Pakistan?