Strategies for Advancing Islamic Finance and Tourism Growth, Sanctioned by Mohammed bin Rashid, with Set Goals
In an exciting development, the UAE's Cabinet, chaired by none other than Sheikh Mohammed bin Rashid Al Maktoum, has given a green light to the UAE Strategy for Islamic Finance and Halal Industry. This move is part of a broader mission to establish the UAE as a global powerhouse in the Islamic finance sector.
The strategy weaves together ambitious growth targets and keystone initiatives to supercharge the sector. For instance, the strategy aims to quintuple Islamic banking assets from AED 986 billion to a whopping AED 2.56 trillion by 2031, while increasing local sukuk issuances to AED 660 billion and international listings to AED 395 billion in the same period.
To ensure this ambitious plan comes to fruition, a committee helmed by the Central Bank governor will oversee its implementation. The committee's mandate includes enhancing the infrastructure of the Islamic finance ecosystem, deepening the roots of Islamic financial instruments like sukuk, and leveraging FinTech to revolutionize Islamic finance services. Digital Islamic economy initiatives, ZakatTech, WaqfChain, and Shari'ah-compliant tokenization are all on the table.
Moreover, the strategy includes measures to fortify regulatory support for Islamic finance and halal industries, ensuring adherence to Shariah principles while fostering growth. All these initiatives are designed to harness the UAE's existing strengths in Islamic finance, which have seen significant growth, with the industry valued at over $285 billion as of Q1 2025. So, get ready as the UAE takes center stage in the global Islamic finance market!
News Source: Emirates News Agency. By the way, if you're interested, did you know the UAE also ranks first globally in the 2024-2025 International Business Leadership Observatory, boasting a strong position in other international competitiveness rankings? Not bad for a small desert country! [wink]
- The UAE's ambitious strategy for the Islamic finance and halal industry, under the leadership of Sheikh Mohammed bin Rashid Al Maktoum, is focused on making the UAE a global leader in the sector.
- The strategy aims to significantly increase Islamic banking assets, local sukuk issuances, and international listings by 2031.
- A committee led by the Central Bank governor will implement this plan, focusing on improving the Islamic finance ecosystem, promoting Islamic financial instruments, and embracing FinTech to transform services.
- The strategy also includes strengthening regulatory support for Islamic finance and halal industries, while preserving adherence to Shariah principles for growth.
- The UAE's existing strengths in Islamic finance, valued at over $285 billion as of Q1 2025, will be leveraged to take a dominant position in the global Islamic finance market.
- In addition to this, the UAE ranks first globally in the 2024-2025 International Business Leadership Observatory, demonstrating a strong position in other international competitiveness rankings.
- As a small desert country, the UAE's business and financial sectors are making impressive strides in innovative sectors like tourism, sustainability, and technology, positioning it as a market leader in various fields.
