At one level it is now well established that IF is quite different from conventional finance simply because former is based on Quranic and Shariah injunctions and principles. Islam prohibits exploitative transactions such as (riba), or transactions involving uncertainty (gharar) or speculative behavior (maisir) or trading of debts. In conjunction, IF advocates “material finality” that underscores backing of financial transaction with real economic activity/transactions.
This marks an important milestone in the push towards establishing a common global baseline for jurisdictional requirements. Once finalised, it will be important that jurisdictions take early action to adopt, implement or otherwise make use of the standards. Some jurisdictions will want to go further than others in their requirements.