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Ivory Coast: Timid enthusiasm of clients towards Islamic finance

04/08/2021
Categories: Sectors

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Inhisic finance has taken its marks from Sharia law (prohibition of interest, prohibition of investment in sectors such as alcohol, tobacco, gambling betting...). After the excellent results of the Sukuk bonds (Sukuk State of Côte d'Ivoire 5.75% 2015-2020";  "Sukuk State of Côte d'Ivoire 5.75% 2016-2023) realized on the financial market of the West African Economic and Monetary Union (WAEMU), on October 17, 2016, the practice of Islamic finance in Côte d'Ivoire is still timid.

 

To encourage investors to turn to this model, the Ivorian Ministry of Economy and Finance organized a seminar around the theme: "Islamic finance, as an alternative solution for the financing of economic agents". In the hope of a better appropriation of Islamic finance and the opportunities for its development in Côte d'Ivoire, this workshop presented the regulatory framework and landscape of Islamic finance as a major asset of financial inclusion. But also to discuss the issues, challenges, and opportunities related to the development of Islamic finance, particularly in terms of regulation and synergy between markets."

It should nevertheless be emphasized that in the world of Islamic finance, certain banking and development institutions animate the African market and companies. One example is the Arab Bank for Economic Development in Africa (Badea). From its inception in 1973 until 2015, Badea has funded 593 projects in Africa with an allocation of $4703 million. Given the alternative it offers, the Ivorian authorities last year invited Badea to contribute to development by improving the competitiveness of Small and Medium-sized Industries (SMIs) and Small and Medium Enterprises (SMEs).

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