05 Aug 2016
"Unlike other countries, the Islamic finance industry in Indonesia grows because of community initiatives who developed unique Sharia-based financial features such as rural Islamic banks, retails Islamic bonds, Hajj funds, and other innovative social financing," he said.
Although the number of Islamic economy experts only reached 131 in Indonesia, which is lower than Malaysia's 205, the number of Islamic financial institutions has reached 150. This number exceeds Malaysia's 100 Sharia financial institutions, Mustafa said.
He added that Bangladesh, which has 174 Islamic economic experts, only has 50 Sharia financial institutions.
According to him, there is a strong correlation between the number of Islamic economic experts and the completeness of Islamic financial regulations in a country. In this regard, the completeness of Indonesia's Sharia economic regulations is considered strong, ranking second after Malaysia in first place.
Mustafa continued that Indonesia's abundant natural resources and strategic geographical location provide numerous opportunities for economic development, especially in the Sharia financial industry.
Sharia-based business sectors are continuously growing throughout the world, one of which is the halal food industry.
Thomson Reuters ranks Indonesia as the world's largest halal food market with a value of Rp2,063 trillion in 2014, followed by Turkey with a value of Rp1,432 trillion.
"Now, with the government's drafting and implementation of Sharia economic regulations, the Islamic finance industry is expected to grow as a strong and sustainable sector without losing the unique Sharia values of its products and services," Mustafa said.
Editor: Unggul Tri Ratomo
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