The challenge of standardising sharia compliance

With an estimated worth of around $1.1 trillion in global assets, Islamic finance has experienced continuous growth against a backdrop of global economic turmoil affecting conventional markets. While the appeal to gain exposure to safer and better performing alternatives is strong, the continuing lag in sharia rules harmonisation is putting a dampener on the market’s potential. Sarah Nowakowska reports

Once more tipped as a potential rival to the dominance of conventional financial markets in the wake of the global economic crisis, developments in the past few years have allowed Islamic finance to blossom into a recognised alternative market for investments. The financial crisis, amplified by the onset of the eurozone's sovereign debt traumas and the uncertain outlook in the US since last August, has served to emphasise the attractions of a safer, more stable alternative to conventional