Can CIMB manage the daunting task of promoting Islamic finance?
Q. What is it about Islamic Banking that most people do not know? Essentially, Islamic Banking encompasses financial activities that adhere to Islamic principles. Islamic principles are those that give priority to profitability and social responsibility. When it comes to making profits, the sky is the limit. The minimum you can make is 30%. Then again, you have to balance that with social responsibility. You are not going to be charging people 30% per day. To describe it, you can do whatever you want in terms of making profits for yourself and your stakeholders but you have to balance it 50-50 with social responsibility. How does the Islamic Banking industry regulate itself and deal with compliance issues and how does CIMB Islamic ensure the legitimacy of its Islamic Banking business?As far as CIMB is concerned we are governed by the Islamic Banking Act 1983 which says that we cannot do anything in contradiction with Shariah. And if we do it, we will lose our licence. That automaticall
