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IFN Investor

Islamic banks – South and Southeast Asia: Sector is well positioned for continued growth as economies

Islamic banks in Bangladesh (Ba3 stable), Brunei (unrated), Indonesia (Baa2 stable), Malaysia (A3 stable) and Pakistan (B3 stable) have ample capital and liquidity buffers to meet increased demand for financing in 2021 as economies bounce back from the coronavirus pandemic. Prospects for longer-term growth are also bright for the sector, thanks to young, growing populations and government efforts to develop Shariah-based financing.

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