In today’s interconnected world, the demand for innovative and sustainable financial solutions has never been more pressing. Islamic finance, with its ethical and Syariah-compliant principles, stands at the forefront of Brunei’s economic diversification strategy, positioning the nation as a key player in global financial markets.
Rooted in the principles of fairness, ethics and social responsibility, Islamic finance offers a distinct approach to wealth management in the modern economy.
Unlike conventional banking, Islamic finance operates under Syariah law, which prohibits interest (riba) and emphasises risk-sharing, ensuring that financial transactions adhere to moral values.
From profit-sharing partnerships to ethical investments, this system not only provides a credible alternative to traditional finance but also caters to the growing demand for sustainable and socially conscious financial solutions.
As global focus shifts towards ethical practices, Islamic finance is poised to shape a more just and equitable future. At the recent Islamic Development Bank Group Day event, Head of the Islamic Development Bank (IsDB) delegation Datuk Amer Bukvić emphasised the deep-rooted and evolving partnership between Brunei Darussalam and the IsDB.
This bond, strengthened by the recent signing of the memorandum of understanding (MoU) for the development of the Country Engagement Framework (CEF), marks a significant step forward in their collaboration.
The MoU symbolises a new era of cooperation, aligning with Brunei’s long-term strategic vision and opening doors to new opportunities for growth.
The IsDB Group Day, co-hosted by Bank Islam Brunei Darussalam (BIBD) and the IsDB, with the support of the Ministry of Finance and Economy (MoFE), served as a platform to explore collaborative efforts in key areas.
Datuk Amer Bukvić underscored the significance of the event, describing it as a milestone for economic cooperation and a gateway to fresh investment and trade opportunities between Brunei Darussalam and the 57-member countries of the IsDB Group.
He remarked, “This event marks the beginning of an exciting new chapter, as we work together to develop a Country Engagement Framework for Brunei.
“The CEF is not just a document; it is a strategic roadmap that will guide our efforts and contribute to the implementation of the IsDB Group’s new 2023-2025 strategy. This strategy emphasises the importance of green, resilient, and sustainable infrastructure, along with inclusive human capital development.”
During the event’s opening ceremony, BIBD and the IsDB formalised their partnership by signing an MoU, focusing on growth in Islamic finance, micro, small, and medium enterprises (MSMEs), and youth development. This partnership paves the way for joint ventures in investment, knowledge-sharing, and the adoption of best practices in structuring Syariah-compliant financial products.
At the heart of this collaboration is a shared objective: promoting economic diversification in line with Brunei’s long-term strategic vision, Vision 2035.
“The CEF we are developing is built on two key pillars: promoting Islamic finance and strengthening the SME ecosystem,” explained Datuk Amer Bukvić.
“These pillars reflect our mutual priorities and will serve as the foundation for sustainable economic growth in Brunei.”
He elaborated on the goals of the partnership, noting that promoting Islamic finance would strengthen Brunei’s expertise in this vital sector, keeping the nation at the forefront of global Islamic financial markets.
At the same time, supporting SMEs would bolster the country’s entrepreneurial backbone, ensuring that small businesses thrive and contribute meaningfully to national progress.
In addition to these pillars, the CEF incorporates cross-cutting initiatives that address regional cooperation, climate change mitigation, digitalisation, and the empowerment of youth and women. “These elements are essential to ensure that our partnership remains both relevant and transformative, helping Brunei meet today’s challenges while preparing for tomorrow’s opportunities,” he added.
Looking ahead, Datuk Amer Bukvić expressed confidence in the potential of IsDB Group Day as a catalyst for achieving Brunei’s aspirations under Vision 2035.
He concluded, “Together, we are building a resilient, forward-looking nation – one that is ready to face the future while contributing to the betterment of the global Ummah.
“Through our collaboration, we will unlock new opportunities for economic growth, social development, and environmental sustainability, all while contributing to the broader goals of the IsDB Group and the global community.” – James Kon
