National and Global Islamic Financial Architecture:
Prolems and Possible Solutions for the OIC Member Countries
65
An interesting feature in Bangladesh is the role the industry has played in the establishment of
some of the infrastructure institutions. With the encouragement and support of BB, Islamic
banks have taken initiatives to establish a Central Shariah Supervisory Board and interbank
Islamic money market.
There have been no initiatives to develop the legal and regulatory regime for takaful
companies and Islamic capital markets. As a result, takaful companies operate at a
disadvantageous level compared to their conventional counterparts. While both stock
exchanges have developed Islamic indices, no sukuk have been issued. The relatively
underdeveloped sukuk and Islamic capital markets also highlight the complementarity
between different financial sectors whereby both Islamic banking and takaful sectors face
constraints to growth due to a lack of adequate Shariah compliant liquidity and investment
instruments.
Chart ‎4.1: Islamic Financial Architecture Institutions—Bangladesh