Islamic Financial Development and Cooperation Among Member States in CICA

• Published in: Asian journal of Middle Eastern and Islamic studies Vol. 12; no. 2; pp. 155 - 166
• Main Author: Jiang, Yingmei
• Format: Journal Article
• Language: English
• Published: Routledge 03.04.2018
• Subjects: 'Belt and Road' Initiative; CICA; Islamic bank; Islamic finance; Islamic financial cooperation
• ISSN: 2576-5949; 2576-5957
• DOI: 10.1080/25765949.2018.1478790

There are 26 member states in the Conference on Interaction and Confidence-Building Measures in Asia (CICA), including Asian countries and some African countries. CICA has developed the regional and cooperation mechanism with the largest coverage, the largest number of members and the widest representation. The vast majority of member states are countries along the Belt and Road Initiative (B&R), and many countries use Islamic finance in CICA's own financial system or are interested in cooperating with Islamic finance. For political and economic reasons, Islamic Banks development in CICA member states is imbalanced. Sukuk (Islamic Bonds) development in CICA member states is mainly sovereign Sukuk. The share of Islamic Funds assets in CICA member states is very low. The takāful sector in Iran is comparatively developed in CICA member states. Islamic Financial development and cooperation in CICA member states is mainly concentrated in Islamic countries. However, it has expanded to Non-Islamic Countries. In the future, Islamic finance development and cooperation will play an active role in the construction of the B&R.