The board will also advise the SECP on the Shariah-compliance aspects of various products. PHOTO: FILE
ISLAMABAD:
The Securities and Exchange Commission of Pakistan (SECP), on Friday, announced the formation of the Shariah Advisory Board (SAB), which will be responsible for harmonising Shariah interpretations and strengthening the regulatory and supervisory oversight of Islamic financial institutions (IFIs) and Islamic capital markets (ICMs) in Pakistan.
The board will also advise the SECP on the Shariah-compliance aspects of various products launched and the processes being adopted by the regulated entities. It will also provide guidance for issuance of new laws, rules and regulations for effective monitoring and supervision of Islamic financial products and to suggest ways and means for development of the IFIs and the ICMs in the country.
The equity market regulator has designated Mohammed Asif, the insurance commissioner at the SECP, to oversee the smooth functioning of the SAB, whereas renowned scholar of Islamic jurisprudence and Islamic finance Mufti Muhammad Hassan Kaleem has been appointed as the chairman. Kaeleem has extensive experience in Islamic finance being the Shariah adviser to a number of Islamic financial institutions around the world.
Other Shariah scholars who have been appointed are Mufti Najeeb Khan, Mufti Irshad Ahmad Eijaz, Mufti Shabbir Hasan Maisami and Mufti Syed Sabir Hussain.
Omar Mustafa Ansari, a professional accountant, and Sultan Mazhar Sher, a legal expert, will represent the technical committee. In addition, Muhammad Kashif Siddiqee, joint director, and Tariq Naseem, deputy director, will represent the SECP. Bushra Aslam, secretary to the commission, will also be the secretary to the SAB.
The first meeting of the SAB has been convened where Kaleem discussed development of a roadmap/future action plan for the orderly development of the IFIs and ICMs, while adhering to the core Islamic principles.
The Insurance Commissioner Mohammed Asif hoped that the SAB would play a key role in boosting this sector, especially in ensuring products innovation and ensuring a robust Shariah-compliant Islamic financial and capital market.
Published in The Express Tribune, August 24th 2013.
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