Against this backdrop, I have a keen interest in what kind of new financial services Islamic finance will provide in the future. To date, Islamic finance institutions have provided many products that replicate those of conventional finance while respecting Islamic values, where interest, or riba, is prohibited.
My focus today, however, will be cooperation in monetary policy and, especially, in the meeting of the liquidity needs of our increasingly globalized financial markets. As you know, financial markets remain under severe strain. The proximate cause of the financial turmoil was the end of the U.S. housing boom and the attendant losses on mortgages and mortgage-related assets by many institutions.