Banks’ association, UKEF sign MoU to boost Islamic finance cooperation

LONDON

The Participation Banks Association of Türkiye (TKBB) and the U.K. Export Finance (UKEF) signed a Memorandum of Understanding (MoU) aimed at strengthening cooperation in Islamic finance.

The agreement was formalized during the U.K.-Türkiye Islamic Finance Forum, which was hosted by the U.K. Department for Business and Trade in cooperation with TKBB, and seeks to enhance collaboration between the two countries in areas such as export financing, trade, education and alignment with international standards.

The MoU outlines plans for mutual technical support, ongoing communication between stakeholders and participation in joint projects within the participation (Islamic) finance sector.

"The share of participation finance in Türkiye’s banking sector is currently around 8 percent. Our initial goal is to increase this to 15 percent," said Mehmet Ali Akben, TKBB chairman and Vakıf Katılım Bank's general manager.

Akben noted that London remains a major global financial hub and pointed out that Türkiye has completed the development of its own financial center in Istanbul.

"We believe that this MoU will enable deeper collaboration between the two countries in trade and export finance, education and alignment with international standards. We also believe that Islamic finance will become more accessible to a broader audience in Türkiye as a result," he added.