Philippine Standard time

Islamic Finance in the BARMM: Opportunities, Challenges and Paths Forward


This paper documents the proceedings of the roundtable discussion "Islamic Finance in the BARMM: Opportunities, Challenges and Paths Forward," which evaluates the potential of Shari’ah-compliant financial systems to drive economic inclusion in the Bangsamoro Autonomous Region in Muslim Mindanao. The study examines the regulatory landscape post-Bangsamoro Organic Law, focusing on the integration of Islamic banking principles—such as risk-sharing and the prohibition of usury—into the regional economy. Key discussions center on the challenges of low financial literacy, the need for robust institutional frameworks, and the opportunities for Islamic finance to support MSMEs and infrastructure development. By synthesizing insights from financial experts, policymakers, and religious scholars, the proceedings advocate for a dual banking system that operates alongside conventional finance to cater to the unique needs of the Muslim population. Ultimately, the research highlights Islamic finance as a critical instrument for poverty reduction, regional stability, and "escaping the middle-income trap" within the BARMM.



Related Publications