BRAXXON News - Islamic banking establishes a presence
Recognition of the need for Islamic banking that is Sharia-compliant by the west's financial institutions has resulted in a number of new banks being established to serve Muslim communities. An indication of the growing maturity of Islamic banking in the UK is that High Street banks now offer Sharia personal banking services such as mortgages based on Murabahe, the shared ownership model.
As for the wholesale market, over the past twelve months, greater interest from western financial institutions has fuelled a surge in the growth of the Islamic Bond market that has become the world's most rapidly growing asset class.
In the first half of this year alone the Islamic Bond, or Sukuk, market grew an impressive 75% to $85Bn in the total of outstanding issues. The western market currently accounts for 70-80% of the buyers against 20-40% in the same period last year. As a result the market has seen a small number of Islamic banks entering the UK wholesale market and probably the number is set to grow.
BRAXXON has established itself as a prime source of expertise and knowledge, advising and supporting Islamic bank start-ups. With its team of experienced technology and business professionals BRAXXON ensures successful transition from the planning phase through to live operation.
These are the facets for which BRAXXON has taken responsibility:
· Programme Management
o Overall control of the start-up programme, including FSA application, developing the infrastructure and specifying / hiring key personal
· Package Evaluation / Vendor Selections
o Selection of a Core Banking System
o Selection of an IT Infrastructure provider
· Target IT Operating Model
o Definition of key architectural components
o Definition and implementation of IT governance
· Target Business Operating Model
o Definition of key components of business architecture
o Production of all policies and documented procedures / controls
· Interim Management
o Provision of interim Management to ensure milestones are met and an aggressive go-live date is achieved
· Business Continuity
o Definition and implementation of a fit-for-purpose Business Continuity strategy
BRAXXON clients are benefiting from a dedicated team of experts who are working in partnership to achieve successful planning and implementation by applying best practice and using proven methodologies.
[This article appeared in the most recent BRAXXON Electronic Newsletter]