THE City Government of Isabela de Basilan, through its Public Employment Service Office (Peso), initiated the first-ever Islamic Banking Caravan on Tuesday, January 27, promoting ethical, interest-free and inclusive financial services for micro, small and medium enterprises (MSMEs) and underserved sectors.
The initiative was led by Isabela City Mayor Sitti Djalia Turabin-Hataman, the principal author of the Islamic Banking Law during her term as Anak Mindanao representative in Congress, and a long-time advocate of financial inclusion.
The caravan is in response to the limited access of many entrepreneurs and communities to conventional banking by introducing Islamic Banking as a transparent, fair, and socially responsible financing alternative.
“I really want people, especially the Muslim Filipinos, to know that we already have banks offering Islamic banking services and products,” Hataman said in an interview.
Hataman said survey showed that there are a lot of Muslims who are unbanked “and many of them would say the reason is because there are no available Islamic banks.”
“We have to push for the law. The law is here, but it hasn't been used by many of our prospective beneficiaries of the law,” Hataman added.
The caravan brought together policymakers, financial experts, and community leaders to promote greater awareness and understanding of Islamic finance in the country.
Lawyer Arifa Ala, Bangko Sentral ng Pilipinas (BSP) senior assistant governor, highlighted the Philippines’ single regulatory framework for Islamic banking.
Ala said that all existing banking regulations apply equally to both conventional and Islamic players, with supplemental rules to address unique characteristic of Islamic banking.
The caravan also featured booths showcasing Islamic finance products and services from Al-Amanah Islamic Investment Bank of the Philippines, Maybank Philippines, Pru Life UK, and Card Bank, Incorporated.
Hataman is looking forward that the participants of the caravan will re-echo in their respective communities what they have learned during the activity.
The caravan was held in partnership with the BSP-Zamboanga Branch. (SunStar Zamboanga)