Path Solutions completes annual AAOIFI compliance requirements of iMAL
By Edil Corneille
Path Solutions announced today that it has successfully completed the annual AAOIFI compliance requirements of iMAL. The iMAL Islamic Core Banking Platform facilitates and automates Sharia-compliant banking operations with multiple deployment models, including pure-play Islamic, Islamic windows, and coexisting Islamic and conventional banking. This comprehensive suite covers a wide range of Sharia-compliant Islamic financial modes including Murabaha, Mudaraba, Ijarah, Wa’ad, Musharaka, Wakala, Tawarruq, Qard-ul-Hassan, Jualah, Sukuk, Salam and Istisna’a.
The recertification process of iMAL demonstrates Path Solutions’ ongoing efforts to maintain compliance with existing and newly issued AAOIFI Sharia and financial accounting standards. The AAOIFI certification renewal also assures the public that the Islamic core banking system provider remains committed to adhering to the Sharia law, by staying current and abreast of changing industry regulations and environments.
Omar Mustafa Ansari, Secretary General of AAOIFI apprised, “We are glad to complete the annual recertification of iMAL for the year 2021. iMAL from Path Solutions leverages both technology and Sharia compliance features for increased transparency and improved performance. The system’s Islamic business processes, contracts, lifecycle proceedings and related accounting entries have been assessed to be in compliance with AAOIFI’s Sharia and financial accounting standards.”
The features of iMAL enable Islamic banks to extensively configure the lifecycle processing of financing transactions based on specific requirements. Given the strict prohibition of interest in Islamic finance, Islamic banks need to construct innovative financial products in order to comply with the Sharia law and follow Islamic financing principles.
Mohammed Kateeb, Path Solutions’ Group Chairman & CEO enunciated, “In a fast-paced, rapidly changing world, the most successful and sustainable source of competitive advantage is through uniqueness and innovation. Collaboration is key to unlocking continuous improvement and business elevation in a forward-thinking financial ecosystem. Our close collaboration with a global body for Islamic finance such as AAOIFI signifies that we are staying current with Sharia, Islamic accounting and auditing standards, and the unified industry practices as to the new iMAL platform during the last twelve months. Our flagship solution is fully compliant with Sharia principles and regulatory requirements such as Basel Committee standards and Anti-Money Laundering regulations, allowing Islamic banks to ensure corporate governance and reduce risks. We appreciate AAOIFI’s role in strengthening the Islamic finance sector and re-emphasize the value and significance of AAOIFI’s annual review and certification of our system.”
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