Risk Management in
Islamic Financial Instruments
4
Chart 1.1: Distribution of Islamic Banking Assets of QISMUT Countries
Source: EY World Islamic Banking Competitiveness Report 2013-2014
Chart 1.2: 2008-2012 CAGR of QISMUT Countries
Source: EY World Islamic Banking Competitiveness Report 2013-2014
In addition, 17 Islamic banks currently possess USD $1 billion or more in equity and regulatory
capital. 14 of the 17 banks are headquartered in the QISMUT countries. However, economic
and political instability in highly populated Muslim countries has slowed the growth of the
financial sector. The recent large-scale operational changes that leading banks have taken on is
a second factor slowing growth (EY 4-20).
Apart from the QISMUT countries, Islamic banking has been making strides in other parts of
the world. In Africa, Nigeria, Kenya, Uganda, Tanzania, Zimbabwe, Malawi, Morocco, Algeria
and Tunisia are all beginning to introduce Islamic banking. In India, the S&P and Bombay Stock
4%
15%
22%
9%
43%
7%
Indonesia
UAE
Malaysia
Qatar
Saudi Arabia
Turkey
11%
14%
20%
29%
31%
42%
0%
10%
20%
30%
40%
50%
Saudi Arabia UAE Malaysia Turkey Qatar Indonesia
5- Year CAGR (2008-2012)
QISMUT Countries