The Islamic financial system seems to offer a promising avenue for future financial resiliency and hence economic sustainability, said INCEIF president/chief executive officer, Daud Vicary Abdullah.
He said the financial markets operating on the basis of interest rate, normally referred to as conventional financial markets, and had come under close scrutiny.
“While some have looked at ways and means to fix the instability inherent in the conventional interest-based system, others have searched for alternative financial systems,” he said in a statement today.
INCEIF, The Global University of Islamic Finance, hosted the three-day 15th Malaysian Finance Association (MFA) Conference themed “Financial Challenges and Economic Growth — The Way Forward”, which ended Tuesday (4th June 2013).
He said more importantly, the roles of Islamic banking and finance had been given emphasis with the papers in Islamic banking and finance to be selected for publication in the Pacific-Basin Finance Journal and two papers chosen for the best paper awards sponsored by the journal.
Daud said the conference received huge interest from researchers not only from Malaysia but also from abroad which includes Australia, New Zealand, Indonesia, Pakistan, and Saudi Arabia.
The conference discussed, among others, the challenges to economic growth as a result of recurring financial shocks and turbulence which in turn caused drastic falls in real sector activities.
The participants also highlighted the pressing need to explore mechanisms for propelling sustainable economic growth in the face of these challenges.
INCEIF was set up by Bank Negara Malaysia to develop human capital for the global Islamic finance industry.