By Maryam Khalfan - MUSCAT — BankMuscat will host a seminar on Islamic banking tomorrow at Grand Hyatt Muscat, it was declared at a press conference yesterday. The seminar, which is designed to raise awareness on customer benefits derived from Islamic banking, will be addressed by Shaikh Ibrahim bin Nassor al Sawafi and Shaikh Azan al Amri, researchers at Ifta’a office, Ministry of Awqaf and Religious Affairs.
In his briefing Al Sawafi highlighted the significance of the seminar in enlightening the community about the differences and similarities between the conventional and Islamic kind of banking. “Discussions will also explore home financing through the musharakah mutanaqadha contracts — a contract of partnership between two parties, whereby one of the parties buys the entire property and the other repays in instalments until all dues are cleared.
The seminar will also look into aspects of Islamic bonds, an assortment of services that could be shared between both types of banking structures and many issues that govern the Islamic type of banking, among others”, remarked Al Sawafi. Also speaking on the occasion, Sulaiman bin Hamad al Harthy, Group Deputy General Manager, Consumer Banking, said: “BankMuscat strives to increase the range of benefits for customers and we are confident that the Islamic banking seminar will shed light on important aspects of Islamic banking from the Shariah perspective.”
As a follow-up measure, the bank will organise a series of presentations on Islamic banking across the Sultanate, highlighting the difference between Islamic banking and conventional banking. The presentations will familiarise people with the main characteristics of Islamic finance. Experts and scholars will make presentations and educate the public on the features and benefits of Islamic banking.
The CBO has initiated steps to incorporate Islamic banking legislation into the banking law and thereby form a legal framework for Islamic banks and Islamic banking branches in line with the best international practices. “Since Islam is the religion of the Sultanate of Oman as stated in the Basic Law, Oman is ideally placed to play a leading role in Islamic finance. Omani commercial codes are completely supportive to Islamic banking structure without any conflict. The commercial code has a very strong Sharia foundation in the form of Article 2, 4 and 5 of Royal Decree 55/1990”, affirmed Al Harthy.