Indonesian Sharia Financial Increases to 4th in the World

Jakarta, MINA – Indonesian Sharia Financial System increases to the 4th in the world. It is a global appreciation of the hard work of the government together with all relevant industry players in developing of Islamic economy.

“This is an effort of appreciation from global industry players and we also continue to increase efforts to achieve a more improved position,” Executive Director of the National Sharia Finance Committee (KNKS) Ventje Rahardjo told a press conference in Jakarta on Tuesday, November 12.

He also said KNKS is planning to establish an Islamic investment bank in order to expand Islamic financial ecosystem which will begin to be realized in 2020.

“Islamic investment banks are being prepared. Next year, they will have and move, we want it to be fast,” he said.

Ventje explained that an Islamic investment bank is needed in order to be able to finance projects with large-value financing structures, for example for infrastructure development projects.

Until now, both Sharia Commercial Banks (BUS) and Sharia Business Units (UUS) have started to enter the infrastructure sector, including through a syndication scheme for toll road projects and the purchase of sukuk issued by the government.

“Currently, there is financing through syndication but this form of investment bank will make the financing of strategic projects stronger,” he said. (T/Sj/P2)

Mi’raj News Agency (MINA)