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Meethaq forum highlights role of Islamic banking in developing economy

MUSCAT, 07 September 2014 – Meethaq, the pioneer of Islamic banking in Oman from Bank Muscat, hosted a  forum on the 'Principles of Islamic Economy and Development' on Sunday, 7 September, at Hilton Salalah Hotel under the auspices of Sheikh Ahmed bin Mohammed al Khatib, Judge of the Supreme Court in Salalah. Sheikh Dr. Ali Qaradaghi, Chairman of Meethaq Shari'a Supervisory Board, and members of the board addressed the forum attended by dignitaries, senior government and private sector officials and representatives of higher education institutes.

Sulaiman Al Harthy, Group General Manager – Islamic Banking, said: “Meethaq has taken the lead to engage people at all levels in order to familiarise them with the fundamentals of Islamic banking and finance. Against the backdrop of Oman's strategic development initiatives as part of the economic diversification programme, new possibilities exist for Islamic banking and finance vis-à-vis the investment opportunities in Oman. The high profile seminar addressed by Shari'a experts reiterates Meethaq's commitment to develop a robust Islamic banking industry in Oman. Meethaq is well positioned to provide Islamic financial expertise to diverse segments and thereby promote the good of society as a whole."

Presentations on the role of Islamic banking and finance in developing the economy were made by Sheikh Dr. Ali Qaradaghi, Chairman of Meethaq Shari'a Supervisory Board, Sheikh Essam Muhammad Ishaq, Sheikh Majid Al Kindi, and Abdulqader Thomas, members of the Shari'a Supervisory Board. Dr. Saeed Al Muharrami led the discussions as moderator.

As the pioneer of Islamic banking in Oman, Meethaq stands out for its independent Shari'a Supervisory Board, separate capital allocation from shareholders' money, unique risk management tools, complete fund segregation, separate books of account, core banking system which supports Islamic banking operations, stand-alone Islamic banking branches and proper profit distribution mechanism among investment account holders/depositors. The adoption of AAOIFI standards (Accounting & Auditing Organisation for Islamic Financial Institutions) distinguishes Meethaq Islamic banking practices in terms of standardisation of products and services.

Meethaq has adopted the best practices in Islamic banking and finance worldwide to combine a robust model which protects customers and complements the Islamic banking industry. Every Meethaq product goes through the process of Shari'a compliance certification by the Shari'a Supervisory Board and is created in line with the guidelines of the Central Bank of Oman.