ABOUT THE TASKFORCE
The Global Islamic Finance SDG Taskforce is a unique collaboration between the public and private sectors spearheaded by the UKIFC and HM Treasury, which explores the role the Islamic finance industry can play in addressing this funding gap and to better understand the commercial opportunities the SDGs present for the sector.
With assets expected to reach US $3.8 trillion in 2022, Islamic finance is one of the fastest growing sectors in the global financial industry. Achieving the 17 Sustainable Development Goals (SDGs) agreed in the UN’s 2030 Agenda for Sustainable Development will take over US$5 trillion per year investment with the current financing gap standing at around $2.5 trillion per year.
The UN’s SDGs are the blueprint to achieving a better and more sustainable future for all, addressing issues such as climate change, education and equality. Achieving the SDGs requires a coordinated global effort with Governments and private sector, including the financial services sector as a whole. Analysis indicates there is limited engagement by the global Islamic finance sector and this focused taskforce has been established by the UKIFC.
Global IF sector size
Investment opportunity. (UNCTAD)
The taskforce is primarily intended for global commercial Islamic financial institutions and other stakeholders are welcome to participate as appropriate. The taskforce is initially set to run until 2022 and, to facilitate an inclusive global approach, will meet twice a year in different jurisdictions.
Increase awareness, promote understanding and encourage adoption of the UN’s SDGs amongst Islamic financial institutions
Facilitate sharing of knowledge and experience amongst taskforce members
To identify what resources are required that will directly assist Islamic financial institutions to successfully engage with the SDGs
Keynote address: TBC
Monday 16 November 2020
Following on from the success of the inaugural Islamic Finance and the UN Sustainable Development Goals (SDGs) Taskforce meeting in July 2020, over 50 global Islamic Finance leaders including HE Dr. Reza Baqir (Governor, State Bank of Pakistan) and Dr. Hayat Sindi (Islamic Development Bank) who provided a welcome address on behalf of the IsDB President. At the meeting, the Governor of the State Bank of Pakistan highlighted the regulatory framework the country has established for green finance and announced the set-up of a country level working group as part of the Taskforce, bringing together leading banks in Pakistan to encourage engagement with the SDGs. Updates from the recently established working groups on Disclosure and Reporting and Education and Awareness were presented by Andy Homer (Gatehouse Bank) and Omar Shaikh (UKIFC) respectively.
Dr. Hayat Sindi (Islamic Development Bank, left) and HE Dr. Reza Baqir (State Bank of Pakistan, right) and were among participants from Africa, Europe, the Gulf and South East Asia.
Monday 6 July 2020
The inaugural Islamic Finance and the UN Sustainable Development Goals (SDGs) Taskforce meeting took place virtually, in light of the Covid-19 pandemic, bringing together over 40 global Islamic finance leaders. The pioneering meeting, convened by the Islamic Finance Council UK (UKIFC) in partnership with the UK Government, explored the role Islamic finance can play in addressing the $2.5 trillion SDGs funding gap as part of the post-Covid-19 economic recovery.
Islamic Development Bank President Bandar Hajjar welcomed the initiative calling for greater cooperation between the public and private sectors and to use the SDGs to inspire financial innovation.
These working groups have been established as an output of the inaugural Global Islamic Finance & UN SDGs taskforce meeting that took place in July 2020 and subsequent follow-up meetings. At the meeting it was agreed that the taskforce would operate by addressing priority areas through smaller, focused working groups.
Disclosures & Reporting
This working group provides a platform for relevant stakeholders to come together to share experiences with a view to developing a more consistent approach amongst Islamic financial institutions to disclosure. The initial scope is on UNEP FI’s Principles for Responsible Banking (PRB); other areas for reporting may be added by the working group members in due course.
Education & Awareness
This working group will focus on activities that increase awareness, promote understanding and encourage adoption of the UN’s SDGs amongst the global Islamic financial institutions (IFIs) and their related primary stakeholders
JOIN THE TASKFORCE
The taskforce will provide a platform for global Islamic financial institutions to come together to share knowledge, experiences and ideas that will drive positive engagement with the SDGs. We ask participants to put competitive tensions aside to work together with the aim of mobilising Islamic finance to create a better world for future generations. In so doing, within the global financial system, Islamic finance can play a role as a leading ethical finance solution.
Where appropriate we will invite leading conventional finance players to showcase how they are engaging with the SDGs.
To discuss participation in the taskforce please contact firstname.lastname@example.org
For the taskforce to be successful it requires representation and input from the core Islamic finance markets from across the globe. The taskforce provides a forum to support collective cross-border action and it will also help to define the sector’s role in addressing the pressing challenges facing people and the planet as set out in the Global Goals.
As the aims of the taskforce transcend geographical and political boundaries it is relevant for the meetings to be hosted in different regions. We welcome the UK Government’s support in hosting the inaugural session and encourage other governments or regulatory bodies to do the same.
If you are interested in hosting a taskforce meeting in your region please contact email@example.com
“I am pleased we’re now a founding country partner and observer member of the new Islamic Finance SDG Taskforce. This Taskforce will bring together the global Islamic finance community so it can help us meet our international, environmental and sustainability objectives.” John Glen MP, Economic Secretary to the Treasury
Part 1 of our Thought Leadership series, ‘Islamic Finance and the SDGs: Framing the Opportunity’ is available now. Click here to download.
The report provides an introduction to the SDGs within the context of Islamic finance. Future papers will provide a detailed analysis of interviews conducted with Shari’ah scholars and senior level Islamic finance practitioners to ascertain their views on the SDGs.
The UKIFC is a leading not-for-profit body committed to the promotion and enhancement of the global Islamic and ethical finance industries. A pioneer in advocating the role of Islamic finance in delivering positive social outcomes, the UKIFC has published thought leadership content on the SDGs and Tayyib as well as led the Edinburgh Finance Declaration – an interfaith shared values collaboration on ethical finance.