Kenya’s Islamic Finance Industry is old for a decade but still realizes its full potential and is making the desired impact in the promotion of linkages between financing and the real economy.
In relation to Shari’ah’s financing model transactions, refuse interest rates (Riba), non-permitted activities (prohibited) and sharing through transparent processes for the development of equity and equity.
Barclays Bank of Kenya’s first bank was based on a window of banking professionals concerned with Shariah. Kenya’s commercial bank entered the local market of the bank’s first community bank and Gulf African Bank in the capital market in 2006.
Takamul Insurance Africa, after which the operator was licensed with the first Shariah-related money. A collaborator of Dubai Islamic Bank started operations in Nairobi and Mombasa in 2017 and started publishing savings and credit co-operative organizations (SACOS) with Shariah-assisted products responding to the claims of poverty from members.
With the widespread increase in the number of Islamic financial service providers, we are still seeing a big market share for them. The rapid speed of financial products with Shariah has had adverse effects due to a number of factors which are not limited to the lack of legal and regulatory infrastructure, lack of skilled Islamic financial profession, poor understanding and lack of awareness.
Another challenge that has been to reduce the further increase in Islamic financial industry in Kenya, the lack of coordination of Shariah’s standards is the foundation of Sharia policy of the real financial branch.
At the global level, we have accounting and auditing organizations in Bahrain’s Islamic financial institutions (AAOIFI), which coordinate with Sharia standards and practices around the world.
In the absence of a strong regulatory environment in recognition of the unique requirements and practices of the Islamic financial institution in Kenya, we have faced the challenge of praising the role of Sharia scholars and how can they provide facilities to limit gaps within their Shariah Opinion.
Sharia is the divine responsibility to explain the scriptures of the scriptures and to guide the members of the people so that the combination of people and the expectations of Islam can be ensured.
These scholars serve to promote financial products, offer advisory services, stakeholder training, Shariah commercial disputes and implementation of their edicts to supervise the exercise.
In this day and age, where the geographical scope of the population of technology extends, there should always be the knowledge of the well-known and eminent scholars who believe in customers and always trust the customers.
An uncontrolled and unorganized difference between the Sharia opinion only confuses the industry partners because it often produces more heat than the light. It is my modest opinion that the industry partners collaborate in organizing public awareness programs to manage poor perceptions of the ignorance of the industry.
As an urgent matter, stakeholders should take a comprehensive training of Sharia scholars and there is a need to develop structural arrangements to create disagreements between them and to acquire knowledge and to collect information from eminent scholars of Islamic Finance. International level
The industrial village can work together and facilitate professional development and can increase public awareness of Islamic funding. Encouraging the enthusiasm of good coordination between the industry stakeholders and the need to be encouraged to maintain an active environment for further growth and development of the industry.
Akil Consulting Limited has taken the initiative to organize a technical workshop for Shariat scholars, which deepen their knowledge of Shariah’s consent and diversity in Shariah opinion among financial matters. This event will be available at Windsor Golf Hotel and Country Club on July 11, 2011.
The scholars’ workshop organization will be conducted by the two-day training at Takamul Insurance at the Kenya School of Monitoring Studies on 9th July 2018, it is possible by patronizing and supporting industry players and regulators.
It is worthwhile to evaluate its impact as it is often effective in ensuring that these initiatives are strong and in order to ensure the rapid growth of industry growth, education, and market demand.
Through the collaboration between industry players, regulators and others, higher educational institutions can be made to develop Islamic finance for the public and to make profits in the industry so far that can easily be changed by perfect ignorance and wrong information.