The alignment of the SDG financing agenda and Islamic finance presents a clear opportunity to attract capital from across the global financial system and enables the shift from ‘billions to trillions’ needed to achieve the goals, UNDP Program Administrator Ms. Usha Rao-Monari said.
She elaborated: “Islamic finance and SDG-sensitive impact investing are both founded on similar rigorous ethical and social criteria that emphasize inclusiveness and deeper and more cooperative meaning of business–society relations.
She said UNDP is scaling up efforts to engage countries in Islamic finance as a vital complement to the overall mobilization of financing for the SDGs. With its presence in over 170 countries, UNDP has a unique vantage in mobilizing Islamic finance organizations to join forces with the conventional streams of financing the SDGs, and then also, on monitoring, reporting and communicating their overall impact on sustainable development.
She said this in a two-day virtual Islamic Finance International Conference (the International Conference) themed “Connecting the Dots: Harnessing Islamic Finance to Accelerate the Achievement of the SDGs” hosted by the United Nations Development Program Country Office for Malaysia, Singapore and Brunei Darussalam.
The major event, held on 24-25 February 2022, was jointly organized by UNDP together with Securities Commission Malaysia (SC), Islamic Banking & Finance Institute Malaysia (IBFIM), Chartered Institute of Islamic Finance Professionals (CIIF) and Islamic Development Bank (IsDB) Group.
Close to 300 participants from across the globe joined the conference which dealt with Islamic finance impact and potential in promoting sustainable development. Specific panel discussions were held on the promise of Islamic Social Finance as development impact funds, mobilizing Islamic FinTech for greater social benefits and Impact Assurances and Measurement in Islamic Finance framework.
Datuk Shaik Abdul Rasheed, Deputy Governor of Bank Negara Malaysia, in his keynote speech, pointed out the game-changing impact technology has on Islamic finance. He said that “with the right and responsible application, emerging technologies can amplify the impact of Islamic finance in meeting sustainability goals.”. According to the Deputy Governor, “Islamic financial institutions should nurture the mindset of partnership. Having a supportive ecosystem as well as a wide network of trusted partners is key to bolster the effectiveness of value delivery.”
