“Islamic banks continue to grapple with multiple challenges relating to sub-scale operation, asset quality, negative operating income from core activities and a weak risk culture. The severity of performance challenge has prompted several institutions to initiate wide-ranging transformation programs which include regulatory transformation – involving compliance risk, capital optimization, integrated balance sheet management and liquidity management; risk transformation – around Shari’a governance, single data management framework, segment specific risk models and fund transfer pricing capabilities and retail banking transformation – strengthening a customer centric operating model, channel integration and technology enablement. Successful transformation around these three areas could potentially increase the profit pool of Islamic banks by 25 per cent by 2015.”
Convened under the patronage of HRH Prince Khalifa Bin Salman Al Khalifa, the Prime Minister of the Kingdom of Bahrain and held with the official support of the Central Bank of Bahrain, the main WIBC conference was officially inaugurated today with an exclusive opening keynote address by H.E. Rasheed M. Al Maraj, Governor of the Central Bank of Bahrain.
source: CPI Financial