Overall capital and an evolving Basel II Before I move on to other issues, I would like to address the concern that the combination of credit and operational risk capital charges for those U.S. banks that are under Basel II would decline too much for prudent supervisory purposes.
However, although the concept of Islamic Finance has generated a lot of interest and overwhelming support from both muslim and non-muslim population in Kenya, as a regulator, we have faced certain challenges which I wish to share with this gathering. Key among these are: a)  Islamic Banking prohibits interest and allows profit sharing.