DHAKA, May 26, 2025 (BSS) - Speakers at a seminars underscored the need for establishing a dedicated institution for Islamic Banking under the University of Dhaka with the participation of Bangladesh Bank (BB) and the country's Islamic banks.

They made the observation at seminars on "Governance Framework on Islamic Banking Division in Bangladesh Bank" and "Islamic Banking Financial Systems in Bangladesh: The Need for Education" at the BB conference room in the city on Monday, said a press release here today.

The Islamic Banking Regulation and Policy Department (IBRSPD) hosted two
seminars.

On the occasion, renowned Islamic Economist Professor Mohammad Kabir Hassan
was present as the keynote speaker with Deputy Governor of the Bangladesh
Bank Dr. Md. Kabir Ahammad in the chair.

BB's Executive Director Md. Mezbaul Haque delivered the welcoming remarks.

Prof Kabir Hassan, also a Prof of Economics and Finance at the University of
New Orleans, USA, stressed that research is indispensable for the advancement
of Islamic finance.

He highlighted Malaysia's remarkable progress in Islamic finance, attributing
it primarily to a strong emphasis on research.

Prof Hassan urged Bangladesh to focus on acquiring academic knowledge in this
field and to adhere to the policies and regulations of international Islamic
finance organizations.

He also called for the enactment of a comprehensive Islamic finance law, the
establishment of a Central Shariah Board under the central bank, the
appointment of a dedicated Deputy Governor for Islamic banking operations,
and the development of skilled human resources.

He emphasized the immediate need to address bureaucratic complexities and
other challenges.

Mohammad Abdul Mannan, a prominent banker and former Managing Director (MD)
of Islami Bank Bangladesh, currently Chairman of First Security Islami Bank,
discussed the progress of the Islamic banking system in Bangladesh.

He stated that with proper development, the current one-third share of
Islamic banking in the overall banking system could reach 50 percent.

The Chairman of First Security Islami Bank underscored the importance of
educating the 25,000 officers and employees and 40 million customers in
Islamic banking-related academic knowledge.

He also expressed his strong belief that the demand for a separate institute
to achieve this goal is highly logical.

Executive Director Md. Mezbaul Haque affirmed Bangladesh Bank's commitment to
developing the necessary legal framework and independent policies for the
expansion of Islamic banking and finance in Bangladesh.

He noted that the special guests' guidance and insights would enrich the
knowledge of officials involved in Islamic banking activities, stressing the
need for such events to be held regularly.

The seminars were attended by officials from various departments of
Bangladesh Bank, industry stakeholders, bankers, chairpersons from the
Finance, Banking, Arabic and Islamic Studies Department of Dhaka University
and other policymakers.