World Bank: Tap Islamic finance to achieve the SDGs



Global Islamic finance represents $1.9 trillion in assets, mostly in predominantly Muslim countries in Africa and Asia, where large numbers of people still live on less than $1.25 per day.

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That makes financial institutions rooted in Islamic principles an under-tapped resource for the $3 to $5 trillion per year needed to achieve “shared prosperity” and the U.N.’s 2030 global goals, according to the World Bank and Islamic Development Bank Group.

Their new report also serves as a terrific primer on the topic.

The principles of Islamic finance require “the just, fair, and equitable distribution of income and wealth,” primarily through asset-based financing of tangible assets and communal risk sharing (see, “What Can Islamic Finance Teach Impact Investors?”).

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