AIFC is the first platform in the region to provide businesses with systemic access to Islamic finance, a rapidly growing and promising investment segment. By various estimates, this segment now totals over $2.5 trillion globally and is expected to reach $3.8 trillion by 2023, which accounts for 1% of the world’s total financial markets assets. Islamic banking represents the largest segment (estimated at $1.7 trillion or 70% of total Islamic finance assets). The Islamic insurance industry (takaful) and capital markets have shown strong growth as well.
Islamic Finance Master Plan for the Republic of Kazakhstan 2020-2025
The Master plan has been prepared by the consultant under the technical assistance grant of the Islamic Development Bank and should not be considered as a binding document, but rather a consolidated brief of recommended initiatives for implementation. The Master Plan outlines the key strategic initiatives and recommendations aimed at fostering a more diverse and innovative financial services sector of Kazakhstan through developing the Islamic finance industry over the next five years.
Islamic Finance Guidelines (2022)
AIFC Islamic Finance and Business Hub has initiated development of guidelines that provide an in-depth understanding of the essentials of Islamic finance and Islamic securities. The initiative was supported and implemented by the Asian Development Bank (ADB) as part of a grant designed to increase literacy and awareness of Islamic finance and to unlock the potential of this industry in Kazakhstan
List of licenses in the AIFC
Islamic Banking Business
Islamic Banking Business means providing financing or making Investments by entering as principal or agent into any Islamic Financial Contract while raising funds for those activities through either or both of the following:
(a) raising, accepting and managing funds or money placements;
(b) managing Unrestricted Profit Sharing Investment Accounts (UPSIA); provided that all such activities are carried out in a Shari’ah-compliant manner.
Providing Islamic Financing
Providing Islamic Financing means providing financing in a Shari’ah-compliant manner by entering into any Islamic Financial Contract.
An Islamic Financial Contract may include any of the following:
(i) murabahah and its variations;
(ii) salam and its variations;
(iii) tawarruq and its variations;
(iv) istisna and its variations;
(v) ijarah and its variations;
(vi) musharakah and its variations;
(vii) mudarabah and its variations;
(ix) any other Islamic Financial Contract that is approved to be so by the relevant Authorised Firm’s SSB.
Takaful Business means the business of conducting either or both of the following activities:
(a) effecting Takaful Contracts as Principal;
(b) carrying on Takaful Contracts as Principal.