Philippines Plans to Allow Banks to Set up Islamic Banking Units
- Shariah-compliant finance is promising, Fonacier says
- Central bank to issue Islamic banking rules this year
Photographer: Sanjit Das/Bloomberg
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Bangko Sentral ng Pilipinas is leaning toward allowing local lenders to set up Islamic banking subsidiaries, as it steps up efforts to promote Shariah-compliant finance in the country.
“The BSP is pushing for an open approach where conventional banks can operate Islamic banking windows or to establish subsidiary Islamic banks,” the central bank’s Deputy Governor Chuchi Fonacier told Bloomberg News via email.