• Malaysia steps closer to becoming Islamic banking hub
  • Eileen Ng
  • 1035056486
  • KUALA LUMPUR � Malaysia takes a step closer to realising its aim of becoming a regional Islamic financial hub next month with the launch of an international panel to set benchmarks for Islamic banking.

    Central banks from eight founding members � Malaysia, Saudi Arabia, Indonesia, Iran, Kuwait, Pakistan, Sudan and the Islamic Development Bank � will ink a pact November 3 in Kuala Lumpur to inaugurate the Islamic Financial Services Board (IFSB).

    The establishment of the IFSB � an association of central banks, monetary authorities and other institutions responsible for supervising and regulating Islamic banking � was "in response to the growing significance of the Islamic financial services industry," officials said.

    • More credibility and firmer ground
    • Support from the IMF