Bank Negara to unveil Islamic finance strategy, Syariah contract framework this year
KUALA LUMPUR: Bank Negara Malaysia will issue a strategy paper and exposure draft of the Syariah Contract Framework this year.
KUALA LUMPUR: Bank Negara Malaysia has announced plans to release a strategy paper and a Syariah Contract Framework exposure draft in 2026. Governor Datuk Seri Abdul Rasheed Ghaffour emphasized the necessity of collaboration between regulators, financial institutions, Syariah scholars, and the industry to foster an Islamic finance ecosystem that encourages innovation.
During the 21st Kuala Lumpur Islamic Finance Forum (KLIFF) 2026, the governor introduced the Digital Asset Innovation Hub, a centralized platform for exploring emerging technologies and real-world use cases. Additionally, the regulator is reviewing the Syariah Contract Framework to promote its wider and more effective application.
The upcoming Financial Sector Blueprint will also reflect this shift towards alignment with Malaysia's future socioeconomic priorities. Abdul Rasheed highlighted the significance of Islamic finance in providing innovative risk-sharing solutions, especially in areas requiring unique capital structures and risk profiles. Through i-CITA, established in 2025, Bank Negara is promoting industry learning in developing risk-sharing solutions for sectors such as food security and climate resilience.
The governor outlined three key priorities: aligning strategies and capital with purpose, innovating around real needs, and keeping values at the core of business decisions and market conduct.
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