DUBAI (UAE): The 5th Global Takaful, Re-Takaful and Interest-free Banking Forum was hosted by AlHuda Centre of Islamic Banking and Economics in association with Ethiopian Reinsurance on 23rd November 2023 in Addis Ababa, Ethiopia. This event reflects the Ethiopian Interest-free Financial Industry booming where 5 Takaful windows are operational, and 18 plus banks are offering interest-free banking products line, says a Press release.
Among all East African countries, Ethiopia is on top as per the number of institutions offering alternative products, it reflects the approach of stakeholders that Interest-free financial alternatives are for all. The event aimed to increase collaboration and promote the growth of Takaful, Retakaful, and interest-free banking in Ethiopia and beyond.
The Chief Guest of the Forum Ato. Solomon Desta Vice Governor Financial Institutions Supervision, National Bank of Ethiopia discussed about the size of Ethiopian domestic market and express intension about inviting foreign direct institutional investment in Ethiopia. He also mentioned some of the challenges they are facing inadequate financial education and infrastructure for interest-free financial industry. To address the challenges, he mentioned that we need to have proper financial literacy system, Shariah infrastructure for interest-free banking, and regulatory framework to enable environment.
Muhammad Zubair Mughal, Chief Executive Officer AlHuda Centre of Islamic Banking and Economics, United Arab Emirates acknowledge the support of Ethiopian Financial Industry. He highlighted the role of Ethiopian industry in East African financial market and the development made by the domestic industry over the decade. He also mentioned that AlHuda CIBE from 15 years is dedicated towards the African markets through its consultancy services and capacity building programs. Among the distinguished speakers and well known industry stakeholders shared their experiences and opinions from Kenya, Ethiopia, USA, Mali, Somaliland, Morocco, Uganda, UAE and Pakistan.
This event was hosted by the support of Organization of Eastern and Southern Africa Insurers, Association of Tanzania Insurers, National Insurance Authority Somaliland, Insurance Training Collage Uganda, AT Insurance Brokers and Association of Ethiopian Insurers.
The main sponsors for the Forum were Awash Insurance (Salam Takaful), a frontrunner in the takaful sector, has a rich history of providing innovative and customer-centric risk covering solutions and Oromia Insurance (Takaful), committed to delivering value-driven services with aim to provide alternative options for its customers.
The agenda of the forum was based on present day practices of takaful industry, takaful portfolio, product line, product innovation, marketing strategies, risk management, actuarial services, Shariah legitimacy, future prospects of the industry, re-takaful and Interest-Free Banking. The post event workshop on Operational aspects of Takaful, Banca Takaful, Micro-Takaful and Interest-Free Banking was also arranged on 24th and 25th November 2023. The post event workshop was a value addition for the capacity building related to Takaful and Interest-free industry practices.