ISTANBUL (AA) – In the Capital Formation and Intermediation: Banks, Funds and Islamic Capital Markets panel held within the scope of the 3rd Global Islamic Economy Summit, the capital intermediation role of participation banking, Islamic capital markets and sukuks, investment funds and private capital were discussed. The second day of the 3rd Global Islamic Economy Summit, held at Istanbul Financial Center Halkbank Headquarters, under the auspices of the Presidency and within the scope of the AlBaraka Summit Series, of which Anadolu Agency is the Global Communication Partner, has ended.
Within the scope of the summit, the Capital Formation and Intermediation: Banks, Funds and Islamic Capital Markets panel was held. The panel, moderated by Moody’s Ratings Associate Managing Director Nitish Bhojnagarwala, discussed participation banking as a capital intermediary, Islamic capital markets and sukuk, investment funds and private equity. Speaking at the panel, Turkey Wealth Fund (TVF) Deputy General Manager Mahmut Kayacık stated that the fund was established approximately 10 years ago and that it is one of the 10 largest national wealth funds in the world in terms of asset size, and that they manage over 360 billion dollars in assets in their portfolio.
Pointing out the strategic importance of participation finance for TWF, Kayacık said that this field supports the deepening of financial markets and the diversification of capital market instruments. Kayacık emphasized that the success of participation finance should not be measured only by asset size, profitability or market share, and its contributions to SME financing, employment creation, financial inclusion, regional development, strategic sectors and deepening of capital markets should also be considered as key performance indicators.
he said. Stating that Islamic capital markets and especially sukuk have become strategic tools in mobilizing long-term capital, Kayacık explained that sukuk also supports infrastructure financing and strengthens the bond between capital markets and the real economy. Kayacık stated that 2024 was a very successful year for TVF and said, “We carried out a 1 billion dollar sukuk issuance for the refinancing of the Istanbul Financial Center project.
This transaction was an important turning point for the market. The transaction in question was not only a financial success, but also a tool that contributed to the development of markets in Türkiye. he said. Noting that green and sustainability-related sukuk are among the most important growth areas of Islamic finance, Kayacık stated that both approaches are built on the principles of responsibility, long-term value creation, contribution to the real economy and positive impact.
Kayacık also mentioned the Türkiye Technology Fund established within TVF and said: This example shows how venture capital, private capital and impact investments can support long-term capital allocation. It also reveals how these tools can contribute to the real economy and technology-oriented developments in line with Islamic finance principles. As of today, the fund has committed a total of more than $150 million to more than 15 investment funds within the scope of the ‘fund of funds’ program.
Through these commitments, he contributed to the deepening of Türkiye’s technology and entrepreneurship ecosystem. More than $40 million of these commitments have already been implemented. – Istanbul is one of the most assertive activity centers of global Islamic finance. Gatehouse Bank Chief Risk Officer (CRO) Usman Chaudry emphasized that Istanbul is one of the most assertive activity centers of global Islamic finance and said: Türkiye’s participation banking sector has grown significantly and reached a serious scale and reach capacity.
The Turkish government has made its goal clear; To make Istanbul not only a regional but a global Islamic financial center. This goal is based on extremely solid foundations. he said. Stating that the United Kingdom is one of the most active markets in the world in the field of housing finance in accordance with Islamic rules, Chaudry stated that the real estate investment (buy-to-let) market for rental income in the United Kingdom has been attracting capital from countries with a dense Muslim population, Gulf countries investors and Malaysia’s corporate capital for many years.
Turkish participation banks already have strong relationships with high-net-worth clients interested in investing in real estate in the UK, Chaudry said. We have the products, necessary regulatory permits, governance infrastructure and operational capacity to enable these investments to be financed in accordance with Islam. he said. Following the panel, Durham University Center for Islamic Economics and Finance Director Prof.
Dr. Mehmet Asutay made a speech on Capital in Islamic Economic Theory. Later, participants made presentations at the Foundation: The Islamic Legacy of Sustainable Capital panel. 16There are 54 geographically registered foods among the products offered for sale at the Gastronomy House, where the traditional flavors of Hatay are introduced. 26There are 54 geographically registered foods among the products offered for sale at the Gastronomy House, where the traditional flavors of Hatay are introduced.
36There are 54 geographically registered foods among the products offered for sale at the Gastronomy House, where the traditional flavors of Hatay are introduced. 46There are 54 geographically registered foods among the products offered for sale at the Gastronomy House, where the traditional flavors of Hatay are introduced. 56There are 54 geographically registered foods among the products offered for sale at the Gastronomy House, where the traditional flavors of Hatay are introduced.
66There are 54 geographically registered foods among the products offered for sale at the Gastronomy House, where the traditional flavors of Hatay are introduced.
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