Hargeisa, Somaliland – The Central Bank of Somaliland (BoS) has engaged the AlHuda Centre of Islamic Banking and Economics (AlHuda CIBE) in a major strategic consultancy to develop a comprehensive Islamic banking and capital market ecosystem in the country.
The partnership was formalized during an inaugural meeting at the Central Bank of Somaliland headquarters, attended by senior officials including Mr. Abdinasir Ahmed Hirsi, Governor of the Central Bank, and Mr. Muhammad Zubair, CEO of AlHuda CIBE FZ LLE UAE.
Governor Hirsi underscored the central bank’s strategic vision for this initiative, stating, “Somaliland has a strategic vision to develop a 100% Shariah-compliant banking and financial system.” This commitment was echoed by the Director General of the Central Bank, Mr. Yasin Jama Axmed, who affirmed his dedication to fostering a conducive environment for Islamic banking products and creating a sustainable financial landscape aligned with Islamic principles.
The wide-ranging consultancy assignment entrusted to AlHuda CIBE will cover several critical areas:
· Research and Framework Development: Conducting in-depth research, environmental assessments, and formulating operational frameworks, including Shariah governance.
· Product Development: Designing a comprehensive suite of modern and competitive Islamic banking products for retail, corporate, and SME sectors.
· Capacity Building: Implementing training programs for banking professionals, including pilot testing and recommendations.
· Islamic Capital Market & Sukuk: A key focus will be developing Somaliland’s Islamic capital market, with a particular emphasis on structuring Sukuk (Islamic bonds) as a sovereign and commercial investment instrument. This is expected to enhance the country’s ability to finance infrastructure, strengthen fiscal resilience, and attract investment.
Mr. Muhammad Zubair, CEO of AlHuda CIBE, expressed his commitment to supporting Somaliland in this transformative journey. He emphasized, “A well-structured Islamic financial system is pivotal for sustainable economic growth. The development of an Islamic capital market and Sukuk is indispensable for the smooth growth of the Islamic finance industry in any country.”
This strategic initiative positions Somaliland to harness the strengths of Islamic finance—a globally recognized model known for its stability, asset-backed nature, and social responsibility. AlHuda CIBE’s technical expertise will be instrumental in building a modern, resilient, and inclusive Islamic financial ecosystem for the nation.
About AlHuda CIBE:
AlHuda Center of Islamic Banking and Economics(CIBE) is a globally recognized advisory and consultancy firm in the Islamic banking and finance industry. Its services include Shariah advisory, Islamic financial product development, capacity-building workshops, and consultancy in Islamic microfinance and Takaful (Islamic insurance).
