The global Islamic finance and banking sector is pegged at $1 trillion with an estimated growth rate that is four times higher than conventional financial services, according to organisers of the upcoming International Islamic Finance Conference 2012.
In a news announcement the event management team at Emerald Insight suggested that the demand for the Shari’ah-managed industry is largely marketing driven with a noticeably high number of institutions entering the arena introducing new products to market.
They noted that the sector is undergoing a dramatic change with its one-time easily identifiable early entrants of the 1970s increasingly joined by new dedicated players, alongside Shari’ah-specific, specially-branded product offerings from the general banking sector.
A spokesperson for Emerald Insight, part of Emerald Publishing Group, noted that recent estimates predict a year-on-year growth rate of 25 per cent, which would see the global industry valued at $5 trillion in 2016. They said that this indicates a need for an increased understanding of both the sector and the robust strategies needed to support such growth where the increased competition is in danger of blurring of lines between products and services.