Alinma Bank to Host Third Meeting of Shariah Boards

The Shariah group of Alinma Bank will host the 3rd annual meeting of Shariah boards from banks in Saudi Arabia on June 30, 2010 at the Novotel Hotel in Riyadh. In the interest of furthering communication amongst participants and furthering the study of emerging issues in the field of Shariah-compliant financial transactions, the one-day meeting will deal with the topic of "Proposals for Tackling Market Price in Long-Term Financing.”

Speaking about the event, Shaykh Yasser Al-Marshadi, General Manager of Alinma’s Shariah group and Secretary-General of Alinma’s Shariah board, said that such meetings and forums, in which views and experiences are exchanged among participants and different Fiqh (jurisprudential) doctrines are presented and studied, contribute to the development Shariah-compliant banking. Additionally, said Al-Marshadi, such meetings and forums seek to reach integrated visions in emerging issues and to find Shariah-compliant solutions for issues related to transactions.

Al-Marshadi added that two working papers will be presented at the meeting. The first will deal with the issue of variable returns and will be presented by Dr. Ayashi Alfdad, an expert in Shariah-compliant banking at the Islamic Institute for Research and Training and the Islamic Development Bank in Jeddah. The second paper will address proposals and solutions to changes in market price in long-term financing and will be presented by Shaykh Talal Ben Suleiman Al-Dosary, lecturer in the Faculty of Shariah at the University of Al-Qaseem. Al-Marshadi noted that once the papers had been presented the floor would be opened to discussion amongst the participants in order to clarify important findings and to put forward recommendations.

It should be noted that all Alinma Bank transactions and products are subject to the provisions and controls of Shariah, as stipulated by the bank’s Articles of Association. This is achieved through the bank's adherence to the resolutions of its Shariah board. The bank’s Shariah group provides daily operational supervision of Shariah-compliance.

Alinma Bank is an advocate for and proponent of Shariah-compliant banking and uses events such as the annual Shariah board meeting to help further work in the field.