FSD Africa, in partnership with the Regional Council for Public Savings and Markets says it is currently working on the establishment of a regulatory framework dedicated to the Islamic capital market in the West African Monetary Union (WAMU).

The West African Monetary Union (WAMU) counts among its member states Benin, Burkina Faso, Côte d'Ivoire, Guinea-Bissau, Mali, Niger, Senegal and Togo. The envisaged Islamic capital market aims to support growth in the region and increase funding for EU economies. This project will be carried out in three phases. During the initial phase, an assessment will be carried out, the conclusions of which will support the proposals for the development of a legal and regulatory framework adapted to the Union's Islamic capital market. This evaluation will result in a report proposing a device that complies with the standards of Sharia and the principles of Islamic Financial Services Board (IFSB), informs a press release sent to our editors.

FSD Africa provides technical assistance for the development of a roadmap, the promotion of the regulatory framework and the organization of training workshops aimed at developing and strengthening the capacities of ecosystem actors. The UK-funded organization will then help CREPMF identify the relevant laws to be adopted to implement an Islamic capital market, including any adjustments that need to be made. The local context will be carefully examined for each EU member state, and relevant stakeholders will be invited to comment on the draft regulations, the note said.

To successfully reform and promote Islamic capital markets in the region, an action plan will be developed, as well as an educational guide and a programme to build the capacity of stakeholders. FSD Africa's assistance is part of its ongoing programme to strengthen African financial markets. This programme focuses on the development of financial market master plans, the conduct of institutional capacity assessments and the development of sustainable financing capacities, such as green bonds, to help markets adapt to their operating climate, adds the press release.