Workshop held on settlement of Islamic finance disputes by conciliation and arbitration

Muscat: As part of its strategic corporate social responsibility, Bank Nizwa, Oman's first dedicated Islamic bank co-organises the ‘Settlement of Islamic Finance Disputes by Conciliation and Arbitration’ workshop in collaboration with the College of Sharia Sciences.

Organised in line with its efforts to support the national agenda of Oman 2040 Vision, the workshop aimed at empowering the national cadres to manage and resolve disputes settlement in Islamic finance by following conciliation and arbitration methods.

Commenting on enhancing the Islamic banking industry, Dr Mansoor Ali Al-Qudah, Head of Sharia Department at Bank Nizwa said, “The Sultanate of Oman has witnessed a remarkable development in the Islamic banking sector in recent times, and Bank Nizwa has played a vital role in stimulating the growth of Islamic Banking. The bank continuously records outstanding financial results and provides Sharia-compliant products and services. However, the development of this industry has led to an increase in Islamic finance disputes due to conducting Islamic banking contracts and transactions. Therefore, rigorous efforts must be made to qualify the national cadres to explore and dissolve disputes in Islamic banking by following the methods of conciliation and arbitration. At Bank Nizwa, we are committed to supporting the development of the Islamic banking landscape, and enhancing awareness of the Islamic finance role as it is one of the important sectors for building a sustainable national economy, as well as we endeavour to mark a positive impact on the comprehensive Islamic banking system, which will certainly witness promising growth in the near future.”

During the three-day workshop, a number of papers were discussed and lectures were delivered by specialists in the field covering related issues of financial dispute resolutions in Islamic banks. It was attended by a wide range of experts and specialists working in Islamic finance and banking from both the public and private sectors. These professionals intended to qualify the national cadres to master the mechanism of settling these disputes in compliance with the Islamic Sharia and advanced international professional standards.

"As a socially responsible bank, we are committed to contributing to the sustainable socio-economic development of the Sultanate through our strategic partnership with various entities. Bank Nizwa recognises its scope of activity extends beyond banking service to serve the local communities by supporting various social initiatives and programmes. This sponsorship comes in the framework of the bank’s commitment to actively contribute to the national objectives of the Sultanate’s vision, as this workshop aims to deliver one of the main pillars of the vision, which is qualifying and educating the national cadres, enabling them to compete in global markets in the future,” added Dr Al-Qudah.

As part of the workshop, Dr Mansoor Al-Qudah, Head of Sharia at Bank Nizwa presented a paper titled ‘Contracts for Digital Islamic Financing Products and Tools – e-Commerce’, where several topics were discussed, including procedures of Sharia governance in Omani Islamic banks and the future of Islamic banks in light of the technological advancement. Dr Mansoor further highlighted the most prominent Islamic financing and investment tools like Murabaha, Ijara, Musharaka and Mudharaba, as well as the role of financial engineering in developing digital tools particularly with the widespread use of advanced technology. In his paper, Dr Mansoor discussed Sharia-compliant e-commerce by shedding light on the general jurisprudential rules related to financial transactions in e-commerce.