More NewsMurabaha Standards Approved by AAOIFI

Murabaha Standards Approved by AAOIFI

The ISO 15022 message standards for the processing of treasury murabaha transactions have been certified compliant with the international Islamic finance standards issued by Accounting and Auditing Organisation for Islamic Financial Institutions (AAOIFI). This certification paves the way for the automated processing of murabaha treasury transactions, which reportedly represent 60% of all Islamic financing.

Murabaha includes a money transfer and a commodity trade. SWIFT has carried the money transfer for many years, while the commodity trade has been completed manually, usually by fax without any globally agreed standard. SWIFT’s solution uses the ISO 15022 message standards within the guidelines of a Murabaha Standards Rulebook.

“AAOIFI is responsible for global Islamic finance industry standards and we establish best practices for the industry”, said Dr Mohamad Nedal Alchaar, secretary general of AAOIFI. “Our collaboration with SWIFT aims to build a well-structured and well-regulated international Islamic finance infrastructure”.

Related Articles

Preparing for GDPR? Here’s four things to consider

More News Preparing for GDPR? Here’s four things to consider

2m Elliott Wiseman
Cash flow in focus for investors

Cash Management Cash flow in focus for investors

3m Conor Deegan
Treasury TV: Karen Pugsley, Domino's Pizza Group

More News Treasury TV: Karen Pugsley, Domino's Pizza Group

3m Victoria Beckett
Treasury TV: Yeng Butler compares US and European MMF reforms

Compliance Treasury TV: Yeng Butler compares US and European MMF reforms

3m Victoria Beckett
Treasury TV: Tim de Knegt, The Port of Rotterdam

10 Minutes With The Treasury Treasury TV: Tim de Knegt, The Port of Rotterdam

4m Victoria Beckett
Banks are selling clients short with short dated cash deposit U-turns

Banking Banks are selling clients short with short dated cash deposit U-turns

4m Victoria Beckett
What does sterling’s Brexit boost mean for UK manufacturers?

More News What does sterling’s Brexit boost mean for UK manufacturers?

4m Tasja Botha
FX for corporates: 5 best practices for treasurers

Economy FX for corporates: 5 best practices for treasurers

4m Mateo Graziosi