Question
What is the main objective of Russia's first-ever
Islamic banking pilot program, set to launch on September 1st?Solution
Russia is set to launch its first-ever Islamic banking pilot program on September 1st, marking a significant shift in its financial landscape. With an estimated Muslim population of up to 25 million, this strategic initiative is aimed at tapping into a growing market and strengthening economic ties with countries that operate under Sharia finance principles. The Islamic banking pilot program has received the official endorsement of Russian President Vladimir Putin, solidified by the signing of a new law on August 4. The two-year pilot program will be concentrated in four Muslim-majority regions: Tatarstan, Bashkortostan, Chechnya, and Dagestan. Unlike conventional finance systems that rely on interest-bearing transactions and debt-based structures, Islamic banking operates under Sharia law, which mandates ethical financial conduct and prohibits usury. About Russia Capital: Moscow         Currency: Russian Ruble         President: Vladimir Putin
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