Jakarta, Indonesia, 5 November 2024 – The Kuala Lumpur Center of Excellence (KLCoE), led by Mr. Samer Elesawi, undertook a mission to Jakarta to participate in the World Zakat and Waqf Forum (WZWF) and held strategic meetings on Islamic Finance and the Halal Industry. Key partners in these discussions included Bank Indonesia (Central Bank), the OJK (Financial Services Authority of Malaysia), KNEKS (National Committee of Sharia Economy and Finance), and the Regional Hub of Indonesia. These meetings aimed to explore opportunities for collaboration, exchange insights on Islamic Finance and Halal industry development, and align efforts with the overarching objectives of KLCoE.

The WZWF provided a platform to engage with global leaders and experts in zakat and waqf, aiming to enhance their roles in Islamic social finance. KLCoE's participation aligned with its strategic objectives of promoting Islamic social finance practices, particularly in supporting the zakat and waqf sectors within IsDB member countries. The event announced 15 series of resolutions aimed at enhancing the role of zakat and waqf globally. Among the 15 resolutions was the establishment of a Global Zakat and Waqf Policy Council and inviting the leadership of member countries of the Organization of Islamic Cooperation (OIC) and the Islamic Development Bank (IsDB) to strengthen the role of zakat and waqf.

The visit to the OJK (Financial Services Authority of Indonesia) was hosted by Mdm. Nyimas Rohmah, Director of the Sharia Bank Regulation and Development Directorate. The discussion focused on reviewing the current state of Islamic finance in Indonesia and outlining its 2023-2027 roadmap, which emphasizes digitalization, consolidation, and sustainable finance. Potential collaborative efforts to advance the Islamic finance ecosystem and support halal industry development were also explored.

In addition, KLCoE also visited National Committee of Islamic Economy and Finance (KNEKS) and was received by Mdm Dwi Irianti Hadiningdyah, Director of Islamic Social Finance Directorate. The talks focused on the role of Islamic finance in financial inclusion and literacy, considering Indonesia’s status as the country with the largest Muslim population. They highlighted the need to ensure access to Islamic finance, particularly in rural areas, to promote equitable financial distribution.

Additionally, Microfinance was underscored as a key tool for providing access to low-income families and microbusinesses to contribute to rural economic development. KLCoE also highlighted the opportunities for collaboration with the Bank, particularly in developing the Islamic finance ecosystem and halal industry. Specific areas explored included halal industrial parks, halal logistics, zakat and social finance, and the integration of technology like blockchain into Islamic finance. 

On the sidelines of the WZWF, KLCoE also met with Bank Indonesia officials, represented by Mr. Ridwan Sobirin, Manager of the Department of Sharia Economy and Finance. The meeting emphasized the importance of collaboration between both parties in advancing Islamic Finance.