Keeping standards high in global Islamic finance
The Accounting and Auditing Organization for Islamic Financial Institutions (AAOIFI) is a not-for-profit standard-setting infrastructural institution for the global Islamic finance industry. It has comprehensively updated existing ethics codes, spending three years interviewing key figures in the Islamic finance industry, including regulators, directors, Shariah scholars, CEOs, practitioners, and consultants, from right across the world.
The result is a new Code of Ethics for Islamic Finance Professionals. Here’s why Al Rayan Bank did not hesitate to voluntarily become the first financial institution in the world to adopt it:
1. We support the pursuit of excellence in all of our activities. The Code, broadly speaking, argues that the way to ethics is through justice and the way to justice is through excellence. The Islamic finance professionals, and therefore by extension, Islamic financial institutions, are strongly encouraged to pursue excellence in all their work activities. This is in keeping with we way we conduct our business and support our staff at Al Rayan Bank
2. We support greater understanding of the ethical nature of Sharia compliant banking. The new Code coincides with the UK Government’s calls to businesses to support the UK’s recovery amid the ongoing COVID-19 disruption, with an emphasis on businesses to build back better – and greener. Ethical finance is growing in prominence amid this backdrop. Al Rayan Bank has always taken steps to educate the public – Muslim and non-Muslim alike, about Islamic finance and its naturally ethical and sustainable nature.
3. We support working – and living by – an ethical framework. As an Islamic bank, an ethical framework is part of our DNA. Everything we do at the bank, from daily business operations, to product development, to dealing with customers is aligned to our Sharia compliant operating model. We fully support the principle of having a strong and moral ethical code to conduct our business by.
Speaking about our early adoption of the Code, Omar Mustafa Ansari, the Secretary General at AAOIFI, said: "We congratulate Al Rayan Bank on becoming the first Islamic financial institution in the world to adopt the new Code of Ethics for Islamic Finance Professionals and publicly commit its compliance in its business and operations. This initiative proves their commitment to ethics which we commend them for, and which hopefully encourage others to follow suit as well."