The ongoing global economic crisis is still being felt by much of the world and, in particular, many conventional banks. They are focused on implementing the new regulatory requirements that demand that they strengthen their balance sheets. This has led some banks to reassess and ultimately withdraw lending facilities rather than raise more capital. Some are also trying to manage the damage to their reputation caused by the scandals associated with their roles in the economic crisis. Although not immune to these challenges, Islamic banks are starting to enter new markets and sectors that were previously dominated by conventional finance.
Now more than ever, Islamic banks are in a position to take advantage of these opportunities. The global Islamic finance industry has increased in volume by 33% since 2010, reaching $1100bn in 2012 according to Standard Chartered, and there are no signs of this slowing.
