Interview of Laurent Marliere in Shariah-Scholar Journal

UK’s plan to issue Islamic Bond welcomed by Laurent Marliere.

Islamic markets specialist, says “the tone is given” for other Western countries.

Leading Islamic markets expert, Laurent Marliere, speaking at the World Islamic Economic Forum (WIEF), has welcomed positively developments on the UK’s plans to issue a «Sukuk».

Speaking after Prime Minister David Cameron announced that the UK will become the first non-Muslim country to issue Islamic bonds, Marliere, CEO of ISFIN, said: "World economy has been awaiting a strong signal in this direction for decades. The fact that Britain profiles itself in this innovative segment is no wonder. Technically, other Western countries have already listed Sukuks. But the fact that a large economy like the UK commits itself to capture the potential of Islamic finance, should wake up other Western giants ! Across the globe, sukuk issuance has grown exponentially. This gives the UK a lead in capturing what is now a very substantial investment market. There is a real and significant demand for such bonds from the Muslim world."   Britain's push to promote itself as a leading Islamic finance hub comes as competition heats up with other financial centres in Europe. Luxembourg, Ireland, France, Spain and Belgium have flexed some muscles around Islamic Finance.   Marliere’s view is however less euphoric than British officials and remind that Britain first announced plans for a sovereign sukuk five years ago. However, that issue never materialised as the country's Debt Management Office decided the structure was too expensive.   He adds that : "World economy needs a symbol and this what it is! The new proposal is less than a fifth of the size of the original and is designed to boost London's status as a worldwide hub for Islamic finance. It may encourage actors in the private sector to use the benefits of this financial instrument». Sukuk are investment bonds which follow religious principles such as a ban on interest and specific industries. The global Islamic finance industry is revolving around $1.8 trillion. Britain is the European base for several Middle Eastern and Asian banks and an inbound haven for Islamic investors. Paris was in a similar position but lacked of pragmatism and missed out on a position which could have consolidated the French economy and its connections to the Maghreb and sub-saharian Africa. The London Stock Exchange also announced plans to launch an Islamic index which would identify companies which are filtered according to Islamic principles, which work in much the same way as socially responsible screens. «Islamic investments have already been used to finance London landmarks such as the Shard skyscraper and the Olympic Village», says Marliere. «Other sovereign sukuks might be used in other Western countries once cultural misunderstandings and local political games will lose substance. Authorities need to recognize and even understand the interest of financial instruments available on a global economy".      ISFIN is the world’s leading platform of advisory firms specializing in Islamic Finance, investments from and to the Muslim world and the Halal industry. The alliance covers more than 60 jurisdictions around the world. ISFIN is composed by the most innovative and highly regarded independent advisory firms.    Contact Information: Laurent Marliere, CEO, ISFIN +32475422149
LM@isfin.net