Recent development
On December 15, 2015, the Prime Ministry of the Republic of
Turkey issued a circular on the formation of an Islamic Finance
Coordination Committee (Faizsiz Finans Koordinasyon Kurulu) to
accelerate the development of Turkey's Islamic finance markets
and to strengthen Turkey's goal of becoming an international
financial hub. Turkey has already committed to developing Islamic
finance and increasing the related coordination in its latest
five-year development plan and the new government's
program.
The Islamic Finance Coordination Committee will be chaired by the
minister responsible for the Undersecretariat of Treasury and will
include top financial markets regulators from the Ministry of
Development, the Ministry of Finance, the Central Bank, the Banking
Regulation and Supervision Authority, the Capital Markets Board,
Borsa Istanbul, and the Islamic Banks Association of Turkey. The
Islamic Finance Coordination Committee will also consult with
non-governmental organizations, academics and professional
organizations.
Conclusion
Turkey has already been active in developing the Istanbul Financial Center initiative to bolster Istanbul's status as a regional and international financial center and supporting the Islamic finance market in Turkey as part of this initiative. The composition of the Islamic Finance Coordination Committee emphasizes Turkey's aim to maximize its coordination at the highest level. As one of Turkey's goals is to diversify its financial markets, the Islamic Finance Coordination Committee will play an integral coordinating role between financial markets regulators and the government to harmonize the Turkish approach to Islamic finance.
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