M`SIAN CENTRAL BANK & UK BODY TO JOIN HANDS IN ISLAMIC FINANCE

KUALA LUMPUR, Feb 26 (Bernama) -- Central Bank of Malaysia (Bank Negara
Malaysia - BNM) Wednesday signed a Memorandum of Understanding with the UK Trade
and Investment (UKTI) to establish a collaborative framework to promote mutual
co-operation in Islamic finance.

The MoU was signed by BNM Governor, Dr. Zeti Akhtar Aziz and Sir
Andrew Cahn, the Chief Executive Officer of UKTI in London, the central bank
said in a statement issued here Thursday.

This MoU will pave the way for Malaysia and the United Kingdom to strengthen
co-operation in the development of talent and expertise, business linkages and
infrastructure support in Islamic finance.

This strategic initiative will facilitate exchange of resources in the
development of human capital and promote mutual recognition of common standards
in Islamic finance transactions.

These initiatives in the context of the current global development of
Islamic finance would contribute to elevating the understanding and appreciation
of Islamic finance.

The signing of this MoU reflects the commitment to further develop the
Islamic finance industry in the United Kingdom and Malaysia, Bank Negara said.

"The MoU signifies the establishment of a collaborative partnership between
the two countries in the area of Islamic finance and provides the potential to
strengthen the inter-linkages amongst key financial centres in Islamic finance
in the international financial system." said Dr Zeti Akhtar Aziz.

Sir Andrew Cahn highlighted that "as conventional liquidity becomes
difficult to come by, companies are looking for alternative financial options,
thus helping Islamic finance become part of the mainstream international finance
market.

"Despite its origins overseas, Islamic finance has found a natural home in
the UK and working in partnership with Malaysia helps cement our position as the
leading western centre for Islamic finance," he said.

-- BERNAMA