In early October 2012, the western South American nation of Peru signed a historic framework agreement with the GCC states aimed at strengthening bilateral trade and boosting investment flows. While the agreement was lauded as an opportunity to create a “strategic partnership” between both signatories, it is also a timely reminder of the potential next generation markets for Islamic financial institutions.
While Europe, the GCC, and Asia have all witnessed a proliferation of Islamic banks, little mention is made of Latin America. An examination of the continent’s underlying fundamentals combined with an assessment of the winds of change currently underway in global trade flows reveal that Latin America could be the next growth story for the phenomenal growth we’ve witnessed in Islamic finance………………………………………..Full Article: Source