Indonesia's missing ingredient: Islamic finance

Even though Indonesia has the world's largest Muslim population, it is hardly present on the Islamic finance scene in contrast to its neighbour Malaysia. This is a problem that needs to be worked on becuase Islamic finance can be a perfect means of solving two significant financial challenges. The first one is funding infrastructure and the second - reducing its dependency on foreign borrowing. Indonesia should take advantage of Malaysia's experience in Islamic financing and develop its own Islamic capital markets. It would be even possible to exploit the deep liquidity pool created by Malaysia.

More on: http://www.reuters.com/article/2012/09/19/indonesia-islamic-finance-idUS...