Malaysian Shariah-compliant Commodity Trading Platform Goes Live
Malaysia has begun trading on the world’s first, end-to-end Shariah-compliant commodity trading platform. The launch commodity is crude palm oil (CPO).
The fully electronic platform, called Bursa Suq Al-Sila’, is an international commodity platform that is able to facilitate commodity-based Islamic financing and investment transactions under the Shariah principles of murabahah, tawarruq and musawwamah.
Bursa Suq Al-Sila’ is an initiative spearheaded by the Malaysia International Islamic Finance Centre (MIFC). The trading platform is operated by Bursa Malaysia via its fully Shariah-compliant wholly-owned subsidiary, Bursa Malaysia Islamic Services Sdn. Bhd.
Dato’ Yusli Mohamed Yusoff, chief executive of Bursa Malaysia, said: “This innovative platform would not have become a reality if not for the support and participation of industry players across the board.”