The Islamic Financial Services Board (IFSB) is an international standard-setting organization that promotes and enhances the soundness and stability of the Islamic financial services industry by issuing global prudential standards and guiding principles for the industry, broadly defined to include banking, capital markets and insurance sectors.
Now Strategic Performance Plan (SPP) 2019-2021 formulated by IFSB aims to continue the enhancement of the IFSB’s standards development agenda and strengthen its initiatives to encourage the implementation of the IFSB Standards in member jurisdictions.
The SPP 2019-2021 comprises four Strategic Key Result Areas (SKRAs) as follows:
SKRA 1: Formulation and Issuance of Prudential Standards, Research and Statistics;
SKRA 2: Facilitating the Implementation of Prudential Standards and Capacity Development;
SKRA 3: Increasing Value in the IFSB Membership, Global Visibility and Attractiveness;
SKRA 4: Efficient Management of Resources.
SKRA 1 is related to the IFSB’s key mandate of Standards Development that focuses on increasing the efficiency to deliver timely and relevant standards, as well as addressing the expertise gap on a long-term basis.
SKRA 2 on the IFSB Standards Implementation and Adoption, looks the IFSB’s initiatives in comparison with other standard-setters, and proposes strategies to align the work of the IFSB with its comparators. With implementation being very high on the IFSB Council and member’s expectations, the SPP 2019-2021 envisages a bigger role for the IFSB RSA members. International Monetary Fund’s (IMF) recognition, in May 2018, of the IFSB’s Core Principles for Islamic Finance Regulation (CPIFR) for Banking in its surveillance program, is also expected to encourage and drive the implementation of the IFSB Standards in member jurisdictions in the coming years.
SKRA 3 focuses on Membership Satisfaction and the IFSB Attractiveness. The SKRA emphasizes collaboration and strategic partnerships to increase the visibility of the IFSB globally, and includes joint cooperation for events and publications, as well as proposes enhancements in communications, in both its form (use of technology and expanding means of communications) as well as the substance (content and key messages to be communicated).
SKRA 4 focuses enhancing the IFSB’s overall productivity and efficiency, through the effective management of human resources, pursuing financial sustainability and enhancing internal controls and governance.
The SKRAs are KPI’s based, and reflected in 12 Outcomes and 27 Outputs, which operationalize the organization’s strategic objectives as stated in the IFSB’s Articles of Agreement. They also embody the IFSB’s Core Values of Accountability, Collaboration, Responsiveness and Integrity.