Islamic Finance Affairs

Islamic banks apply to set up shop in Canada | Breaking City News | Reuters.co.uk

Canada’s banking regulator said on Monday it has received two applications from groups wanting to set up the first Islamic banks in the country, a small but growing industry in Western nations.

“In terms of formal applications, this would be the first two,” said Normand Bergevin, managing director of approvals and precedents at the Office of the Superintendent of Financial Institutions (OSFI).

Islamic finance complies with the religion’s ban on charging interest — a key facet of traditional banking — and on investing in products associated with alcohol and gambling.