An example would be the development of microfinance under a framework that places great importance on Islamic values such as fairness and equality of social economy and business partnership. Islamic finance that offers a broad range of products and services is also important from the perspective of financial market and financial system stability.
Efforts to date have involved, in the first instance, a top down estimate of portfolio losses and, more recently with the assistance of Blackrock (a consultant used by the Central Bank), a bottom-up loan by loan loss forecast exercise based on conservative modelling assumptions. But there is a remaining task: a case-by-case re-underwriting, involving where possible recovery and where necessary restructuring, of troubled loans.