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BANKING & FINANCE
The minister also expressed his delight that
the Islamic Financial Services Industry Stability
Report 2018 included Brunei as one of four
countries with an excess of 50 per cent Islamic
banking share in the domestic market, adding
that he hoped that Brunei’s Islamic capital market
would also experience similar developments.
A notable milestone was achieved when the
country attained a spot among the top 10
performing Islamic finance markets in the ICD-
Thomson Reuters Islamic Finance Development
Report 2017. With a score of 47 in the Islamic
Finance Development Indicator (IFDI), Brunei
rose from the 14
th
position in 2016 to the ninth
position in 2017 with 23 points, registering a 104
per cent increase.
The IFDI provides rankings and profiles for
different Islamic finance markets around
the world, drawing on instrumental factors
grouped into five broad areas of development
as the main indicators, namely Quantitative
Development (Islamic Banking, Takaful, Other
Islamic Financial Institutions, Sukuk and Islamic
Funds), Knowledge (Education and Research),
Governance (Regulations, Syariah Governance
and Corporate Governance), Corporate Social
Responsibility (CSR Activities and CSR Funds
Disbursal) as well as Awareness (Seminar,
News and Conferences). The indicator does
not just focus on the overall size and growth of
Islamic finance sectors in different countries;
it instead evaluates the strength of the overall
ecosystem that assists in the development of
the industry.
His Royal Highness Prince Haji Al-Muhtadee
Billah ibni His Majesty Sultan Haji Hassanal
Bolkiah Mu’izzaddin Waddaulah, the Crown
Prince and Senior Minister at the Prime
Minister’s Office in his capacity as the Chairman
of AMBD Board of Directors launched the Brunei
Darussalam Islamic Investment Summit and the
Brunei Darussalam Islamic Finance Website and
Mobile Application in 2017.
The report noted that these are some of Brunei’s
initiatives that contributed to the 410 per cent
increase in the Awareness Indicator to 51 points,
from 10 points in 2016.
Brunei also scored a significant development in
the Knowledge Indicator, which increased by
154 per cent from 22 to 56 points. The report
attributed this to the involvement of higher
education institutions and Islamic finance
institutions in supporting Islamic finance
activities in Brunei.
The nation also registered a 116 per cent increase
in Quantitative Development. According to the
report, the most improved performances were
by Indonesia and Brunei. Brunei was the biggest
gainer in Southeast Asia as it improved across all
indicators and its much smaller size compared to
Indonesia affected its rationalising coefficients,
according to the ICD Thomson Reuters report.