The world has a lot of Islamic countries and states. Gulf countries stay some of the most prosperous and wealthy places in the world. The area is an economic hub and no matter which businesses get started here, they seem to do well. The lifestyles of people are evidence of the profits and monetary success.
Amidst this, Bahrain stands tall and strong as a flourishing destination, especially for startups. Research by Refinitiv and the Islamic Corporation for the Development of the Private Sector (ICD) has placed Bahrain in the lead in MENA and third place globally. As per the most updated annual Islamic Finance Development Indicator (IFDI), Bahrain has been declared in the world’s top five Islamic finance economies. Today, this blog will discuss the same update and why Bahrain company formation can be your smartest move.
Bahrain has been declared in the world’s top five Islamic finance economies.
The IFDI is part of the annual Islamic Finance Development Report produced by Refinitiv and the Islamic Corporation for the Development of the Private Sector (ICD), the private sector development arm of the Islamic Development Bank (IDB).
In the international Islamic finance industry, The IFDI releases yearly rank for all economies, aggregating scores involving five parameters. These parameters include quantitative development, knowledge, governance, corporate social responsibility, and awareness.
Bahrain’s high ranking was based upon its strong and influential regulation for Islamic finance and banking, and it is high in both the number of Islamic banking assets. Factors like this make business company registration in Bahrain the best move.
What the delegates had to say about Bahrain capability in being the ideal business destination:
- Mr Fahad Yateem, Director of Islamic Financial Institutions Supervision Directorate at the Central Bank of Bahrain said: “I am delighted that Bahrain has once again scored so highly in the IFDI, and particularly for governance. The results are a testament to our longstanding strategy of pioneering yet comprehensive regulation, creating a framework conducive to digital and technological innovation in the industry.
“The recently launched Bahrain Open Banking Framework, which provides detailed guidelines ensuring the holistic implementation of Open Banking for the entire banking industry – the first in the world to incorporate Islamic Finance.
“As the report makes clear, the COVID-19 pandemic has further catalysed digital innovation in the industry as well as consumer uptake of technology. Moreover, it is these technological advancements within Islamic Finance that will be a key driver of the industry’s post-covid recovery.”
- Dalal Buhejji, Director, Business Development, Financial Services at the EDB said: “Bahrain was the first in the region to develop a strong banking community and is now building one of the most concentrated FinTech ecosystems in the world. The Islamic finance sector has been a key part of that development, with ninety-six billion dollars of assets held in the Kingdom, accounting for 124% of Bahrain’s GDP.
“We are continuously implementing new initiatives and policy tools to develop further Bahrain’s standing in Islamic finance, including new Takaful models and Sharia-compliant investment tools.
“The Kingdom’s high ranking is a testament to our innovative and pioneering approach, as well as the advanced financial environment that we offer for both established financial institutions and startups. We look forward to continuing to build on our growth.”
Bahrain stands firm in the times of Covid by being a business destination which is still witnessing profits.
Bahrain is base of Gulf’s most significant concentration of Islamic finance institutions that handle approximately most areas of Islamic finance and Islamic products. The Bahrain Islamic Bank was built in the Kingdom in 1979, and Bahrain has since progressed to curate concepts, rules, and standards of Sharia banking compliance in Islamic banks.
Bahrain and Saudi Arabia’s regulation of InsurTech have started to “evolve” the Takaful industry, with FinTech also being a crucial catalyst of the Islamic finance industry – especially in the condition of Coronavirus pandemic.
If you wish to start a new business, Bahrain has proven its potential by being in the top 5 Islamic economies list. If you have any issues regarding Company formation in Bahrain, BostonBrooks is right here. Get your policies documented, have any compliance, want amendment in-licenses, have a problem with annual ESR filing, acquisition or merger of business, debt recovery or winding up – BostonBrooks has all solutions from inception of business till end.
It’s time for CR in Bahrain – one of the world’s top five Islamic finance economies
