Consults on framework to provide clarity and regulatory guidance
The Dubai Financial Services Authority (DFSA), the independent banking, financial services, and markets regulator of Dubai International Financial Centre (DIFC), has launched a public consultation on proposed enhancements to its Islamic finance regulatory framework.
The consultation, which seeks to provide greater clarity on endorsement requirements and disclosure standards, signals a regulatory development that aligns with broader national objectives, including the UAE Strategy for Islamic Finance and Halal Industry and Dubai’s Economic Agenda (D33) to strengthen the UAE’s position as a global hub for international Islamic finance.
The proposals come as the Islamic finance sector continues its development. The UAE is a leading global market for Islamic finance, according to the Islamic Finance Development Indicator (IFDI).
Financial performance
In 2024, it ranked fourth globally by assets and third based on financial performance and supporting ecosystem metrics. DIFC is currently one of the world’s largest global venues for the issuance of Sukuk, with more than US$ 100bn of outstanding Sukuk listings, including in relation to Environmental, Social, and Governance (ESG).
“These proposals reflect our ongoing engagement with the industry and our commitment to supporting the development of this strategically important sector,” asserted Charlotte Robins, Managing Director, Policy & Legal, DFSA.
