IFSB Successfully Concludes its 43rd Council Meeting in Jeddah

Kuala Lumpur, 29 December 2023 – The Islamic Financial Services Board (IFSB) is pleased to announce that the 43rd Council Meeting has been successfully concluded today, 29 December 2023 in Jeddah, Saudi Arabia. Hosted by the Saudi Central Bank (SAMA), which is the IFSB Council Chair for 2023, the meeting was attended by 17 Council and Full Members of the IFSB, comprising of central bank Governors and deputy governors and senior representatives of regulatory and supervisory authorities.

Among the key outcomes today, the Council consented to the adoption of two new Standards:

• IFSB-29: Conduct of Business Supervision in Takāful Undertakings
  IFSB-29 aims to provide a framework for the conduct of business supervision that regulatory and supervisory authorities (RSAs) can utilise in regulating and supervising their markets and ultimately in supporting the growth and stability of the takāful segment. The new standard covers specificities of regulation and supervision of the takāful segment with respect to the conduct of business, fair treatment of consumers, digital distribution, supervision and oversight of conduct of business risk, and consumer education. It intends to promote consumer confidence and strengthen the enabling environment to uphold transparency and fair dealing in the takāful segment, while complementing global conventional frameworks.

• IFSB-30: Revised Guiding Principles on Corporate Governance for Institutions Offering Islamic Financial Services (Banking Segment)
  The Revised Guiding Principles on Corporate Governance sets out 21 Principles that provide an update to IFSB-3 and address gaps and specificities in corporate governance frameworks for institutions offering Islamic financial services (IIFS) in the banking segment. The Guiding Principle address additional areas of governance not covered by IFSB-3 (Guiding Principles on Corporate Governance) issued in 2006 and provides a comprehensive set of guidance on corporate governance of IIFS, aligned with the BCBS Corporate Governance Principles for Banks. The ultimate objective of the Guiding Principles is to strengthen the integrity and resilience of IIFS by enhancing the effectiveness of their corporate governance frameworks, reinforcing international best practices and positively contributing to financial stability and sustainable growth.

The digital copies of these newly approved Standards will be available on the IFSB website in due course.

Dr. Bello Lawal Danbatta, the Secretary-General, expresses heartfelt gratitude to the esteemed IFSB Council members for their dynamic involvement in the 43rd Council Meeting. “The presence and engagement of our Council today play a pivotal role in advancing effective IFSB governance. We deeply appreciate the ongoing collaboration, meaningful engagement, and invaluable support extended by the dedicated members of the IFSB. Our gratitude to H.E. Ayman Al Sayari for his admirable stewardship as the Chairman of the Council for 2023, and to the Saudi Central Bank for their tremendous support this year,”

He further extends the Secretariat’s enthusiastic welcome to the Chairman and Deputy Chairman of the IFSB Council for 2024, “We look forward to a collaborative and productive chairmanship under the guidance of the IFSB’s newest Chairman, H.E. Ahmed Osman Ali, Governor of Banque Centrale de Djibouti (Central Bank of Djibouti), and Deputy Chairman, H.E. Abdellatif Jouahri, Governor of Bank al-Maghrib (Central Bank of Morocco). With your invaluable guidance and unwavering support, we are poised to propel the IFSB and our impact in global Islamic finance to unprecedented heights.”

Adding to the growing membership of the IFSB, the Council approved and admitted five new organisations;

• Central Bank of Somalia as Associate member
• Meethaq Islamic Bank (Bank Muscat) as Observer member
• Taj Bank (Nigeria) as Observer Member
• Noor Takaful (Nigeria) as Observer member
• Sterling Bank (Nigeria) as Observer member

To date, the IFSB has a membership of 191, comprising of 82 regulatory and supervisory authorities,
10 international inter-governmental organisations, and 99 market players (financial institutions, professional firms, industry associations and stock exchanges) operating in 58 jurisdictions.

The 43rd IFSB Council Meeting is poised to strengthen bonds among member countries and reinforce the Islamic finance role in supporting sustainable economic growth and financial inclusion globally. The close of the council meeting also marks the end of the 20th Anniversary celebration of the IFSB.

For more information on the IFSB, visit www.ifsb.org.