IslamicFinance.de

Turkey's Islamic finance industry is being reshaped as banks widen their product range and new competitors prepare to enter the market, according to a Thomson Reuters study. Promoting Islamic finance in Turkey is part of government plans to boost commercial ties with the Gulf and diversify the country's investor base. Last year Islamic banks reached a combined $36 billion in assets, representing a 5 percent share of total banking assets. The study estimates Islamic bank assets could reach between $80 billion and $120 billion by 2017. For this to occur, however, the industry will need to do more to educate customers. Moreover, banks and companies would also need to take advantage of new rules that facilitate issuance of various types of Islamic bonds.