“Synergy Between Islamic Financial Institutions and Social Obligation: Issues and the Way Forward”

23rd-24th July 2019, Bandar Seri Begawan − The International Shari’ah Research Academy for Islamic Finance (ISRA) in collaboration with Sultan Sharif Ali Islamic University (UNISSA), Brunei has successfully organised the 13th Muzakarah Cendekiawan Syariah Nusantara (Muzakarah-13) (Regional Shari’ah Scholars Dialogue) on the 23rd-24th July 2018 at The Rizqun International Hotel, Bandar Seri Begawan, Brunei Darussalam. The theme for this year’s Muzakarah is ‘Synergy Between Islamic Financial Institutions and Social Obligation: Issues and the Way Forward’.

The event commenced with a recitation of verses from the Quran, followed by welcoming remarks from Dr. Abdul Nasir Haji Abdul Rani, Dean, Faculty of Economy and Islamic Finance at UNISSA and Prof. Dr. Mohamad Akram Laldin, Executive Director of ISRA. Muzakarah-13 was then officiated by Yang Berhormat Dato Seri Setia Haji Awang Abdul Mokti bin Haji Mohd Daud, Minister in the Prime Minister’s Department of Brunei Darussalam. Afterwards, a keynote speech was delivered by Mr. Aznan Abdul Aziz, the Assistant Governor of Bank Negara Malaysia, who highlighted the importance of strengthening the collaboration among sectors to improve the output of social initiatives. The event also featured a renewal of the signing of the memorandum of understanding (MoU) between ISRA and UNISSA. After the officiating ceremony, the resolution of Muzakarah Cendekiawan Syariah Nusantara 2018 (Muzakarah-12) was presented by Assoc. Prof. Dr. Zakariya Hama (Thailand), representing the partner of Muzakarah-12 at Phuket organised the year before.

The first session began with a presentation of a follow-up study comprising two papers, namely ‘Utilization of Zakat, Wakaf, Charitable and Purification Funds to Settle Outstanding Debts of Banks’ Customers’. The presenters were Dr. Mohamad Mahbubi Ali (Indonesia) and Mdm. Hajah Noraini Haji Buntar (Brunei). The papers were discussed by Ustaz Ahmad Suhaimi Yahya (Malaysia) and Assoc. Prof. Dr. Zakariya Hama (Thailand). The session was moderated by Mdm. Hajah Hanifah Haji Jenan (Brunei).

The second session moderated by Ustaz Ahmad Mukarrami Ab Mumin (Malaysia), featured the topic of ‘Adjustment, Provision and Reserve in Zakat Calculation in Islamic Banking Institutions’. Two papers were presented by Ustaz Munawwaruzzaman Mahmud (Malaysia) and Ustaz Burhanuddin Lukman (Malaysia). The discussants for the papers were Prof. Dr. Asmadi Mohamed Naim (Malaysia), Ustaz Muhammad Nuzaihan Hamdan (Singapore) and Mr. Hafni Mohd Said (Malaysia).

The third session then commenced with two papers on the topic of ‘Adjustment, Provision and Reserve in Zakat Calculation in Takaful Companies’ by Ustaz Ahmad Fadhil Hamdi Mohd Ali (Malaysia) and Dr. Mohamed Hadi Abd Hamid (Malaysia). The discussants for the session were Dr. Endy M. Astiwara (Indonesia) and Ustaz Wan Jemizan Wan Deraman (Malaysia). The session was moderated by Prof. Dato Dr. Syed Othman Alhabshi (Malaysia).

The first day closed with a presentation by Mr. Reza Ismail from SysCode on ‘Zakat and Technology: Blockchain Solution’.

The second day of Muzakarah-13 kicked off with the fourth session titled ‘Zakat on Islamic Financial Instruments’ which was moderated by Prof. Dr. Rusni Hassan (Malaysia). The session featured three paper presentations by Assoc. Prof. Dr. Mohamed Fairooz Abdul Khir (Malaysia), Mr. Ezry Fahmy Eddy Yusof (Malaysia) and Prof. Dr. Engku Rabiah Adawiah Engku Ali (Malaysia). The papers were discussed by Dr. Zaharuddin Abd Rahman (Malaysia), Dr. Haji Mohd Aidil Yusrie Haji Shari (Brunei) and Ustaz Mohamad Amin Ibrahim (Malaysia).

The fifth session hosted a forum titled ‘The Function of Zakat in Fiscal Policy’ moderated by Assoc. Prof. Dr. Mohd Nahar Mohd Arshad (Malaysia) and paneled by regional scholars and practitioners, namely Dr. Muhd Zaki Haji Zaini @ Jaineh (Brunei), Syeikh Zakaria Othman (Malaysia), Dr. Irfan Shauqi Beik (Indonesia) and Prof. Dr. Mohamed Aslam Haneef (Malaysia), received an overwhelming response from the delegates.

In the afternoon, Muzakarah-13 continued with a special session with the Association of Shariah Advisors in Islamic Finance (ASAS) by Mr. Makhtar Abdullah as the strategic partner and the Kedah Zakat Board by Syeikh Haji Zakaria Othman as the platinum sponsor of Muzakarah-13. The session then continued with a discussion on the Muzakarah-13 resolutions which was chaired by Ustaz Tuan Badrul Hisyam Tuan Soh (Malaysia) and led by the resolution committee with the participation of the delegates.

The program ended with a closing remark by Mr. Mohd Hasnol Mohd Yunus, Director of Corporate Service of ISRA who thanked the delegates, scholars and working committees for the success of Muzakarah-13.