A panel in the House of Representatives has approved a substitute bill which seeks to provide for the regulation and organization of Islamic banks.
The House committee on banks and financial intermediaries, chaired by Rep. Ben Evardone of Eastern Samar, approved the unnumbered bill substituted House Bill 3975 authored by former president and now Speaker Gloria Macapagal Arroyo and HB 492 by former congresswoman, Sitti Djalia Turabin-Hataman of AMIN Party-list.
Evardone said the approval of the substitute bill will complement the passage of the Bangsamoro Organic Law. “This will help further the efforts to help our Muslim brothers in Mindanao and elsewhere in the country,” said Evardone.
Rep. Amihilda Sangcopan of AMIN party-list, on behalf of her party-list, congratulated the committee on the passage of the legislative measure. She said that with this bill, the Philippines will be one of the countries in the Asean with Islamic banks.
The bill declares that the State recognizes the vital role of Islamic banking and finance as well as the creation of opportunities for greater financial inclusion, especially for the under-served Muslim population.
The measure refers to Islamic banking business as a banking business whose objectives and operations do not involve interest (riba) which is prohibited by the Shari’ah and which conducts its business transactions in accordance with Shariáh principles.