The launch of the world's first Islamic interbank rate is a key step in the industry's efforts to distinguish itself from conventional finance and achieve greater standardisation. The measure of its success will only come with time, however, and is dependent on its ability to offer competitive pricing, its inclusion of more currencies and its application to a range of financial instruments.

In 2010 it seemed that the Islamic asset management industry was taking off when it recorded a 7.6% increase in its assets. But with most sharia-compliant vehicles not satisfying global industry standards, and a large number of relatively small, equity-heavy funds in the sector, growth is needed in many other directions before the industry can fulfil its potential.

The most significant industry trend to date this year has been the resurgence of the Islamic bond (sukuk) market. After a brief setback in 2010, funds raised through global sukuk issues in 2011 stood at $44.7bn in September. But sukuk issuance is still dominated by sovereigns from Asian and Gulf markets and remains concentrated in certain sectors. Four industry experts look at what needs to be done to encourage participation from corporates and facilitate issuances in a wider range of currencies.

Several emerging markets with large Muslim populations combine low bank penetration and a high return on assets with a relatively small market share for Islamic banking, and thus provide further opportunities for growth in the Islamic finance sector.

A look at how The Banker  and Maris Strategies put together the Top 500 Islamic Financial Institutions survey.