Alinma Bank, in collaboration with the SABIC Chair for Islamic Finance Market Studies, recently sponsored a research seminar held at the Holiday Inn Izdihar in Riyadh to explore topics and issues related to Sukuks and Shariah-compliant banking and finance. The seminar featured a presentation by Mr. Faisal Al Shammari, a well-known researcher in these fields and was attended by broad range of researchers, scholars and Shariah specialists.
Speaking about the seminar, Alinma Bank CEO, Mr. Abdulmohsen Al-Fares emphasized the importance of such events, as they help to further the growth and development of Shariah-compliant banking and finance. He also noted that there was a growing interest in Shariah-compliance amongst various business sectors, with increased demand for Shariah-compliant financing instruments. Al-Fares further noted that Sukuks in particular have garnered significant interest in recent years as an important and viable alternative to conventional bond instruments. Sukuks, said Al-Fares, function as important tools of liquidity management and risk mitigation, and help the stock market with growth and stability.
Al-Fares also pointed to the improvements that have come to the Sukuk sector as a result of diligent work amongst Shariah-compliance professionals. He said that some of the difficulties experienced with regard to Sukuk issuance in the past, came as a result of a lack of true and comprehensive Shariah-compliance in the structuring of Sukuks. He noted that this has now been rectified and that Alinma Bank was proud to have taken the lead in successfully issuing more than one fully Shariah-compliant Sukuk. Al-Fares said that Alinma’s role in Sukuk sector progress was part and parcel of its responsibility as a fully Shariah-compliant bank and that Alinma would continue to strive for excellence and innovation in addressing partner (customer) needs.
Also speaking about the event, the head of Alinma’s Shariah Board, Sheikh Abdulrahman Alatrm, stressed that Alinma was diligent in providing Shariah-compliant financing solutions, including Sukuks, backed by the very best research and professional attention, thus obviating the need to revert to conventional instruments. He also noted that there was an urgent need for further development and growth of the Sukuk sector.