MDEC, Jakim To Formulate IDE Framework For Islamic Venture Capital

KUCHING: Malaysia Digital Economy Corporation Sdn Bhd (MDEC) will formulate a comprehensive Islamic Digital Economy (IDE) framework that looks into venture capital funding.

Chief executive officer, Datuk Yasmin Mahmood, said the framework would incorporate halal and Shariah compliance framework, funding and financing framework, IDE regulation framework, and halal business operation framework.

At present, there are a lot of startups coming in to develop products and solutions specifically for the Islamic market, which is currently valued at US$3 trillion.

We hope to attract many more startups from all over the world to come here and develop the solutions out of Malaysia to serve the global market, she told reporters on the sidelines of the 13th World Islamic Economic Forum (WIEF) here.

Currently, Malaysia has only formulated the framework for conventional venture capitalists.

Yasmin said the IDE framework would be developed in collaboration with the Department of Islamic Development Malaysia (Jakim) and Hall Amanie Sdn Bhd, following their tripartite agreement exchanged in conjunction with the WIEF on Tuesday.

The exchange was witnessed by Prime Minister Datuk Seri Najib Tun Razak.

She said Jakim’s halal certification for pharmaceuticals, food and beverages, cosmetics and other goods were well known globally.

Now, we want to extend the halal certification (into services). It (IDE framework) will boost Malaysia’s halal market and be a leader in the global Islamic Digital marketplace, she said.

Yasmin added the parties involved in the agreement aimed at completing the framework by the first quarter of next year.

Source: The Borneo Post