Rabat, Morocco (TMT)-“Islamic banks” will start operating with the unveiling of 2016, said Mr. Abdellatif Jouahri, the Governor of Bank Al Maghrib, Morocco’s central bank.
The revelation was made by Mr. Abdellatif Jouahri while speaking in Kuwait as part of a conference organized by the IMF.
The aforementioned kind of banks however won’t be called Islamic, but rather “participatory banks.”
They come as a result of a strong growing demand in the domestic market.
While speaking in the IMF conference, the governor of Morocco’s central bank has called for a greater harmonization of products and the regulation of the sector to bridge the gap between the current divergences that exist in Islamic finance, as this latter prohibits the payment of interest and forbids transactions based on speculation.
It is worth reminding that in Morocco, a law was passed early last year regulating the work of such participatory banks.
The bill was approved after holding religious consultations with Morocco’s Higher Council of Ulemas.
The Moroccan Times.