The five-year agreement, signed earlier this week, will see the ADB support member countries in legal and regulatory aspects of meeting the IFSB’s standards, Ashraf Mohammed, assistant general counsel at the ADB, told.
IFSB guidelines are widely used in the Islamic finance industry, but they are not mandatory – it is up to national regulators to decide whether to adopt them. “The real test of all this is for financial institutions to apply these standards,” Mohammed said. “We will review mid-term in two years to see how it has been effective.”……………………………………….Full Article: Source