Here's a roundup of key developments across the Islamic lifestyle ecosystem during the month of March

Editor's Note: Sustainability is the new buzzword and is finding its way in every mandate, even in Saudi Arabia as was evident from its recently launched Ihram initiative. 

Healthcare, however, isn't too far behind in terms of priorities,with two smart medical capsules installed near the Prophet's Mosque to detect chronic diseases, conduct rapid test and measure vitals of visitors and pilgrims. 

Trade Developments

Libya / Indonesia

Libya, Indonesia enhance tourism links 

The Indonesian Embassy in Tripoli has launched an initiative to boost halal-friendly travel and strengthen business connections with Libya.

The embassy hosted a gathering and Iftar event with Libyan travel agency leaders, showcasing Indonesia's tourism offerings and highlighting the Bali & Beyond Travel Fair 2025.

The event aimed to promote sustainable travel, cultural interaction, and new business opportunities between Indonesia and Libya. (Travel and Tour World)

Switzerland

Switzerland Tourism’s new campaign promotes Muslim-friendly travel expériences

Switzerland Tourism has launched a campaign with Buttonscarves, an Indonesian luxury scarf brand, to attract Muslim travellers in Southeast Asia.

The campaign features Indonesian influencers wearing headscarves from Buttonscarves' exclusive Switzerland series, showcasing the country's scenic landscapes, in order to connect with the Muslim audience in a culturally relevant way. (Travel and Tour World)

Hong Kong

Hong Kong elevates Muslim-friendly travel experiences

Hong Kong is making progress in becoming a Muslim-friendly destination, with an increasing number of hotels and restaurants catering to the needs of Muslim travellers.

As of February 2025, 52 hotels have obtained Crescent Rating accreditation for their Muslim-friendly facilities, and the city now has 153 halal-certified and Muslim-owned eateries, up from around 100 when the Hong Kong Tourism Board first launched its Muslim-friendly initiative in June 2024. (The Sun)

Operational Developments

Saudi Arabia

Prophet’s Mosque’s AI-driven medical capsules to improve healthcare 

The Madinah Health Cluster has launched two smart medical capsules near the Prophet's Mosque to enhance healthcare for visitors and pilgrims.

The capsules use advanced technologies and AI to detect chronic diseases, conduct rapid tests, measure vital signs, and perform electrocardiograms. They are linked to the Seha Virtual Hospital for specialized support and complement existing healthcare facilities.

The capsules are operated by trained medical workers and serve over 576 patients daily. (Arab News)

Here's a roundup of key developments across the OIC ecosystem during the month of March

Editor's Note: The OIC bloc has been dominating headlines this month, from welcoming Syria's reinstatement to the border demarcation agreement between Kyrgyzstan and Tajikistan. 

Meanwhile, Saudi-headquartered IsDB commits north of a $1 billion to advance development goals across select member countries. 

Trade Developments

Oman / Pakistan

Oman and Pakistan keen to attract more investments, simplify trade procedures

The Minister of Commerce, Industry and Investment Promotion of Oman met with the Federal Minister of Commerce of Pakistan to discuss ways to strengthen economic relations between the two countries.

The meeting focused on promoting promising sectors, improving the business environment, attracting investments, simplifying trade procedures, and boosting trade exchange. (Zawya)

UAE / Bangladesh

Sharjah Chamber, Dhaka Chamber of Commerce and Industry sign MoU
The Sharjah Chamber of Commerce and Industry and the Dhaka Chamber of Commerce and Industry (DCCI) have signed a memorandum of understanding (MoU) to strengthen trade relations and develop economic partnerships between the business communities of the two countries.

The MoU aims to enhance cooperation between private sector enterprises, highlight investment opportunities, encourage growth in target markets, and promote products and services through collaboration in specialized trade exhibitions. (Zawya)

Investment

Uzbekistan

ICD, Turonbank to support private sector growth in Uzbekistan

The Islamic Corporation for the Development of the Private Sector (ICD) and Private Joint-Stock Bank "Turonbank" have signed a $30 million Islamic line of financing facility to support small and medium-sized enterprises (SMEs) and the private sector in Uzbekistan.

The new financing facility, channeled through Turonbank, aims to provide entrepreneurs with financial resources to launch and expand their businesses, driving sustainable economic growth.  (Zawya)

Saudi Arabia

IsDB commits over $1.4 billion to advance development goals across eight member countries

The Islamic Development Bank (IsDB) has approved over $1.4 billion in funding to support Sustainable Development Goals (SDGs) in eight member countries.

The approved projects cover sectors such as food security, health, education, transportation, sanitation, and urban development. (Middle East Economy)

Regulatory

Kyrgyzstan / Tajikistan

OIC welcomes border demarcation agreement between Kyrgyzstan, Tajikistan

The OIC General Secretariat welcomed the signing of the border demarcation agreement between Kyrgyzstan and Tajikistan.

The OIC Secretary-General congratulated the two countries on the achievement, which resolves decades-long disputes, restores understanding and harmony, strengthens mutual trust, and boosts cooperation and good neighborly relations between the two countries and their peoples. (The Nation)

Syria

OIC announces reinstatement of Syria's membership

The Council of Foreign Ministers of the Organisation of Islamic Cooperation (OIC) has decided to reinstate the membership of the Syrian Arab Republic in the OIC.

The council has assigned the OIC Secretary-General to take the necessary steps to implement this decision and to submit a report at the next session of the Council of Foreign Ministers. (Emirates News Agency)

Saudi-based lender Islamic Development Bank (IsDB) has approved more than $1.4 billion in funding to advance sustainable development goals across select member countries. 

The development projects will cover food security, health, education, transport, sanitation, and urban development sectors in eight IsBD member states, the lender said in a statement. 

The approvals include 500 million euros to finance a health infrastructure development project in Türkiye to address accessible and resilient healthcare services. Another undertaking to improve municipal services in water and wastewater management as well as transport services in the country has won a financing facility worth 200.20 million euros.

The IsDB will also provide $241.30 million to build five climate-resilient bridges in Bangladesh's Mymensingh division to help reduce vehicle operating costs, travel time, and greenhouse gas emissions.

Nigeria will receive $52.38 million to enhance food security in the Zamfara state and $50 million to improve healthcare infrastructure and medical education in Sokoto State.

Uzbekistan’s health sector will receive $92.98 million to enhance healthcare services in the Kashkadarya region, with an additional $10 million to support an oncology services project.  

A 141.44 million euros financing facility for Togo in West Africa, will support a road project which will improve travel between Ghana, Togo, and Benin. 

The IsDB approved a 36.80 million euros joint facility from IsDB and ISFD to help enhance the capacity and efficiency of the country’s educational system. Furthermore, 35.07 million euros was approved for a Burkina Faso project to improve rainwater drainage, address flooding in the capital and help upgrade public sanitation and healthcare. 

A $30.48 million IsDB approval will help alleviate poverty and enhance food and nutrition security of rural households in Sierra Leone. 
 

Here's a roundup of key developments across the Islamic finance ecosystem during the month of March.

Editor's note: There is an undisputable rise in demand for Shariah-compliant services, which is prompting banks across the world to take notice.

Pakistan's Samba Bank Limited recently announced its intent to convert to an Islamic banking institution, falling in lockstep with the country's overall ambition to usher in an interest-free banking system.

Meanwhile, an IsDB entity is looking to boost SME financing in Bangladesh.   

Company News

UAE

AlHuda CIBE launches internship program for Islamic finance

The AlHuda Centre of Islamic Banking and Economics (CIBE) has launched its 8th Global Virtual Internship Program, aimed at enhancing global expertise in Islamic banking and finance.

The program, which commenced during the Covid-19 pandemic, has drawn 250 participants from 40 countries, providing a two-month educational experience for professionals and students in various financial sectors such as banking, insurance, and capital markets. (Zawya)

Pakistan

Samba Bank announces plans to transition to Islamic banking

Pakistan-based Samba Bank Limited, a subsidiary of the kingdom's Saudi National Bank, has announced its plans to transition from a conventional bank to an Islamic one.

The decision was disclosed in a notice to the Pakistan Stock Exchange and involves submitting a tentative conversion plan to the State Bank of Pakistan.

The move is part of a broader trend in Pakistan, where Islamic banking has experienced substantial growth due to increased demand, regulatory backing, and the availability of Shariah-compliant financial products. (Business Recorder)

Saudi Arabia

Universal Postal Union explores collaboration with IsDBI 
The Islamic Development Bank Institute (IsDBI) met with a delegation from the Universal Postal Union (UPU) to explore collaboration on enhancing postal financial services using Islamic finance principles.

The meeting, attended by representatives from both organizations, focused on creating innovative financial solutions appropriate for IsDB's member countries and addressing the needs of customers in diverse geographic areas. (Zawya)

Global

Xlence launches Shariah-compliant trading product 
Xlence, an international CFD broker, has launched Islamic/Swap-Free accounts tailored for traders adhering to Islamic finance principles. These accounts comply with Sharia law by eliminating interest-based transactions. (Mondovisione)

Investment

Bangladesh

ITFC signs Murabaha agreement to boost SMEs financing in Bangladesh

The International Islamic Trade Finance Corporation (ITFC), part of the Islamic Development Bank Group, signed a Master Murabaha Agreement with Mutual Trust Bank in Dhaka to boost trade finance support for SMEs and the private sector in Bangladesh.

This agreement will enhance Mutual Trust Bank's capacity to support cross-border trade and SME growth, reflecting a shared commitment to economic development in the country. (Zawya)

Saudi Arabia / Uzbekistan

ICD, Turonbank strengthen partnership to support private sector growth

The Islamic Corporation for the Development of the Private Sector (ICD) and Turonbank have partnered to boost Uzbekistan's private sector by signing a $30 million Islamic financing facility.

The initiative is focused on supporting small-and-medium-sized enterprises (SMEs) through financial resources aimed at fostering project launches and expansions, ultimately enhancing sustainable economic growth and resilience in Uzbekistan. (Zawya)

Saudi Arabia’s modest fashion platform, Aya has secured $1.6 million (6 million Saudi riyals) in seed funding to revolutionize the modest fashion industry.

The latest funding round, led by Khwarizmi Ventures and investor Turki Alrajhi, included contributions from Saudi venture capital firm Raed Ventures, investment firm Joa Capital, and FENA Holdings.

Aya seeks to unify the modest fashion market - particularly the multi-billion dollar Abaya segment - through a single, trend-focused discovery platform. The company plans to empower local manufacturers to create on-demand fashion in response to shifting consumer interests. 

Munira Al Kadi, co-founder and CEO of Aya, said that investment is more than capital.

"We’re entirely changing the game, and we’re looking for fearless, entrepreneurial talents to join our mission."

Aya aims to deploy the funds to bolster its product development efforts, broaden its market reach, and enhance the overall customer experience. The global modest fashion industry was valued at $295 billion in 2024 and is projected to reach $375 billion in 2025, according to DHL.

By expanding its offerings and tapping into the growing demand for modest fashion, Aya aims to solidify its position as a leading platform catering to consumers seeking both style and cultural relevance.

The Comprehensive Economic Partnership Agreement (CEPA) between the UAE and the Central African Republic is expected to boost bilateral trade beyond $1 billion (3.67 billion dirhams) over the next five to seven years. 

The CEPA, signed last week, will create further growth and prosperity opportunities for business communities in both countries, Dr. Thani bin Ahmed Al Zeyoudi, UAE’s minister of state for foreign trade told the state-run news agency WAM. 

The agreement will offer a high level of trade liberalisation, with the UAE granting a 98% tariff removal for goods from the Central African Republic, with the latter extending a 99.5% tariff removal for UAE exports, he added. 

The CEPA offers investment opportunities across service sectors, including telecommunications, hospitality, logistics, and financial technology. 

It will also enhance trade and investment cooperation in strategic sectors such as aluminium, ceramics, petrochemicals, iron, silver, gold, food products, and textiles. 

Al Zeyoudi added that the partnership focuses on advancing collaboration in future economic sectors, particularly digital economy and advanced technology. It also paved the way for new opportunities for small and medium enterprises in both countries.

Non-oil bilateral trade reached $252 million (925 million dirhams) in 2024, rising 75% on the previous year.  The UAE’s non-oil exports to the Central African Republic include consumer goods such as food products, textiles, and electronics, as well as machinery and pharmaceuticals. The Central African Republic exports agricultural products, including coffee, cotton, and cassava to the UAE, in addition to gold and diamonds.

The UAE’s CEPA programme, launched in September 2021, aims to increase the country’s non-oil trade to $1.1 trillion by 2031. It helped gain access to high-growth markets, bumping the UAE’s trade volume by 14.6% annually to reach $816 billion in 2024.