The Malaysian government through its Shared Prosperity Vision 2030 (SPV 2030) has identified Islamic finance and the digital economy as Key Economic Growth Activities (KEGA) to achieve its national commitment of elevating the country to become a nation of sustainable growth while ensuring fair and equitable distribution, across income groups, ethnicities, regions and supply chain. In order to enhance the nation’s prosperity while ensuring rakyat unity, the Tun Mahathir administration has committed to building resilient new key sectors including positioning the country as an Islamic Finance Hub 2.0.
This is a strategic move leveraging on Malaysia’s well-established global leadership in Islamic finance, a culmination of decades-long strong top-down approach and clear vision, while taking advantage of the digital revolution in recognition of the transformative value the digital economy could play in the country’s overall economic growth. The purpose of this report is to share the recommendations and perspectives of the industry on how Malaysia could effectively champion the Islamic fintech agenda. These recommendations represent insights gathered at the inaugural MDEC Islamic Fintech Dialogue, organized by the Malaysia Digital Economy Corporation (MDEC), which welcomed regulators as well as industry stakeholders across different sectors with direct interest in the Islamic finance space.