The Shari’ah Supervisory Board (SSB) in the Bangsamoro Autonomous Region in Muslim Mindanao (BARMM) issued guidelines on how to request its Shari’ah opinions, according to the Bangko Sentral ng Pilipinas.
The SSB provides guidance on Islamic banking transactions and products from financial institutions and other stakeholders in the BARMM. It also issues opinions when asked by the Philippine central bank (Bangko Sentral ng Pilipinas), financial institutions and other relevant parties.
The guidelines detail the process for submitting opinion requests to the SSB, define the types of issues that can be referred for Shari’ah opinion and specify who can make these requests.
Eligible parties include Islamic banks, takaful (Islamic insurance) and retakaful operators, regulatory bodies, non-governmental organizations, government agencies, cooperatives and other financial and non-financial institutions offering Islamic finance products.
Requests can be sent by postal mail or via the official email address of the SSB Secretariat, which will manage the entire process.
The SSB was established through a joint circular on April 26, 2022, by its founding agencies: the BSP, the Bangsamoro Government, the Department of Finance, and the National Commission on Muslim Filipinos. This was to implement their shared responsibilities under the Bangsamoro Organic Law (Republic Act No. 11054).
The initiative supports the national policy under the Islamic Banking Law (Republic Act No. 11439) to foster a strong Islamic banking sector.
The SSB aims to support the growth of Islamic banking and finance and works in conjunction with BSP Circular No. 1070 dated Dec. 27, 2019, which outlines the Shari’ah Governance Framework for Islamic banks and Islamic banking units.
In Islamic banking and finance, all financial services should adhere to Shari’ah principles. Islamic banks offer products that avoid interest, or “riba,” which is prohibited under Shari’ah. Instead, these banks provide alternative methods for generating income.
