UAE Shariah Governing Unit to oversee Islamic banking

|By TAP Staff|The UAE central bank is considering the establishment of a Shariah Governing Unit to oversee Islamic finance on the recommendations of the Islamic Banking Committee.

The progress on this front was reviewed by the UAE Banks Federation at the CEO Advisory Council meeting, which focused on a number of critical issues facing the banking sector in the UAE.

During the meeting, Federation’s specialised committees reported on their work to the Council. The Legal committee highlighted its contribution on setting regulations to appoint banking experts, and engagement on the Direct Debit System, as well as their proposal on “Derivatives Netting”, among other issues.

The Council reiterated its full support for the early establishment of Al Etihad Credit Bureau, and through the Consumer Banking committee is urging all bank members to submit the required data to the Bureau at their earliest opportunity.

Abdul Aziz Al Ghurair, Chairman of the UAE Banks Federation, said the banks were working hard to meet the requirements of the Credit Bureau, which he said would be in place and operational in the coming few weeks.