KUALA LUMPUR: Bank Negara Malaysia is enhancing the Syariah governance framework for Islamic financial institutions to make it drive innovation.
Bank Negara Malaysia governor Tan Sri Muhammad Ibrahim said the new framework calls upon the Syariah committees to integrate relevant business and risk considerations in Syariah decisions.
"Our aim is to position these committees as an enabler and catalyst in supporting the board and senior management - one that drives innovation by providing practical, actionable and impactful Syariah advice," he said at the Syariah Advisory Council 20-year anniversary dinner on Tuesday which was graced by the Sultan of Perak.
The SAC, in its 20-year history, has established itself as the foremost institution in developing and expanding the tenets of Syariah for Islamic finance.
The recent launch of the Certified Syariah Advisors (CSA) and Certified Syariah Practitioner (CSP) programmes demonstrate BNM’s commitment towards shaping and nurturing high quality Syariah talent locally and internationally.
The professional certification programmes will raise the bar for the industry by elevating the professionalism of Syariah advisors and upskilling competencies in the community.
To support the initiative by the Association of Shariah Advisors in Islamic Finance, and to further deepen talent capacity, BNM will make the certification a pre-requisite for the appointment and re-appointment of Syariah Committee members.
“This applies as well for key Syariah personnel in Islamic financial institutions, including Islamic windows. The aim is to ensure Syariah advisors and personnel are equipped with the necessary knowledge that transcends across various disciplines including legal, finance and taxation matters. The timeline for compliance will be decided later.”
BNM’s website will feature an enhanced version of the SAC microsite, starting with the Bahasa version to provide more detailed disclosure of the SAC’s works.