Collaborative approach must for Islamic economy

The news that the UAE will have a sharia-compliant trade bank soon has given a big boost to the Islamic economy. Earlier, the launch of ‘My Salaam’ portal and mobile app — an innovative step — manifested the keeness of the country to consolidate the Islamic ecosystem. The launch of Awqaf International Organization is also an initiative that will give the sector a huge impetus. It is aimed at enhancing the role of endowments in the development of societies across the world. Such moves will not only make the landscape of Islamic economy more robust, but also give a thrust to its core principles which are based on ethics and human welfare.
The recent Islamic Economy Summit in Dubai deliberated on many crucial
issues ranging from philanthropy and innovation to Islamic finance and Halal products. The conference saw the meeting of minds. The talks revolved around a development that can be sustained and the role that Islamic economy can play in bringing about a growth that is not lopsided. It was stressed by many experts that to meet sustainable development goals — which requires $3.5 -5 trillion every year — it is crucial that Islamic economy is promoted as a segment which focus on inclusive growth of the world’s people.
The Islamic economy can become a model of strength and stability if a collaborative approach is taken. It is very important that all countries that adopt Islamic economy come on a single platform. ‘My Salaam’ app as well as ‘Salaam Gateway’ — launched last year — will facilitate these economies to move towards a common ground. Coordination between these economies will catapult the Islamic
industries and help them to share their perspectives and experiences.
The youth are the lifeline of Islamic economy. The youth segment of the world’s 1.7 billion Muslims is growing at twice the global average. Hence, policies have to be formulated wherein the youth participate in furthering the growth of Islamic economy. For this, they have to be made aware about Halal industries and be equipped with tools which can help them take up value-based innovative ventures. Innovation and technology can ensure that Islamic economy empowers youth to tap the sector efficiently. The schemes should encourage learning and creativity. In the long run, this investment in human capital will translate into real progress.
While the youth power is utilized, synergy between various pillars of Islamic economy is paramount. When these come together and there is an effective standardization mechanism, Islamic economies will adopt a joint strategy towards growth. There is a crying need for a global regulatory framework for not only
Islamic financial activities but the entire Islamic economy sector. This framework will bolster the competitiveness of the players in the industry and also drive their investments in the right direction.
The recent summit saw formation of a global endowment body — Awqaf
International Organisation. The new organization will unify all local and global efforts to set up a shared system for endowment investments. Islamic charity funds are a cornerstone of Islamic economy and these need to be organized properly. Organized charities are potential engines of growth. The challenge to globalize Islamic economy is immense. Combining resources and efforts can fast-track the process.
The next decade will be the decade of innovation and the Islamic economy can contribute to world’s economy through innovative solutions.