Beyond road infrastructure financing, human capital development, financial inclusion, and information and communication technology are other key areas in non-interest finance that can address Nigeria’s socio-economic challenges. Mr. Mohammed Mustapha Bintube, Chairman/CEO Buraq Capital Limited and the pioneer MD of Jaiz Bank Plc, made this point while providing his perspective on “Emerging Trends in Islamic Finance and Implications for the Nigerian Economy.”

He said the activities in the non-interest finance market, from banking to insurance, have developed a robust ecosystem that has catalyzed socio-economic activities and created jobs in the country.

Speaking further, he noted that the industry had provided alternative financing measures at a time economies are facing liquidity challenges for sustainability.

The industry leader believed non-interest finance had provided opportunities for infrastructure like power and roads to be financed in a structured way, supporting businesses and boosting economic activities.

He further stated that Buraq Capital is working with Taj Bank on its N100bn Sukuk fund, designed to boost its capital base and position it to support the real sector of the economy. Mr. Bintube called for a robust credit support system for citizens to benefit from non-interest finance.  

He called for increased collaboration between the non-interest finance institutions and fintech firms to develop unique products to improve financial access for the unbanked population.

“The Federal Government should work with the regulators in the industry to develop frameworks that will enable more activities in the Islamic Finance market. This will attract more local and foreign investments into segments like Sukuk, deepening the financial system”.

Since 2017 Nigeria has leveraged the Sukuk segment of the non-interest finance market to finance key road infrastructure projects across the country.

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