The global economy is influenced by COVID-19, inflation, and policy uncertainty, with government spending and monetary policies breaking new ground. Global economic activity has been harmed by the outbreak of Covid-19 and the ensuing movement control order. Islamic banking principles help the economy avoid endogenous crises like the Great Recession and provide a strong safety net against exogenous crises like the Covid-19 crisis. A variety of well-functioning organisations must put these principles into real-world impact. The crisis should be used to close gaps and diversify the industry. The impact of the Covid-19 crisis on Islamic banks is expected to be identical due to their business models’ similarities and the distinctiveness of shariah compliance.
Recognising the current challenge and global crisis, the global Islamic Finance and wealth management sector is growing, with significant demand from Muslim and non-Muslim investors. Malaysia has established itself as an important Islamic finance and wealth management hub. The growth potential is immense, especially beyond 2022, thanks to a collaborative ecosystem fuelled by a well-supported government, central bank, expertise, and other Islamic financial institutions. The purpose of Islamic Financial Literacy is linked to the basic goal of the revelation, which is inspired by the term al-Iqra’.
The growth of Islamic finance and Islamic wealth management requires skills and knowledge to make intelligent and effective judgments or decisions. Thus, professionals are required to provide a crystal-clear explanation to end-users. Furthermore, with the rise of Fintech, IFWMI will take the initiative to spread information through online and social media platforms, thereby promoting IFWMI’s main mission.
The target group of IFWMI ranges from society to the Islamic finance players. Hence, knowledge dissemination is conducted via research, academic discussion, forums, seminars on several aspects of Islamic finance and Islamic wealth management. Four arms of Islamic Finance have been engaged by IFWMI researchers; Islamic banking, Islamic capital market, Takaful and Islamic Social Finance. Additionally, five dimensions of wealth management have also been the niche area of the research activities; wealth generation, wealth protection, wealth accumulation, wealth purification and wealth distribution.
We pray Allah to grant us strength and bless our small effort in making Islamic finance and wealth management the main holding pillar when the society makes decisions about their wealth management matters.
Associate Professor Dr. Fuadah Johari
Tel: 606 798 6412