State-run Philippine Deposit Insurance Corp (PDIC) will be formulating guidelines for the transition from conventional insurance coverage of Islamic deposits to a Shariah-compliant framework, in order to better serve the Muslim community," Finance Secretary Frederick D Go has said.
This move forms part of the Department of Finance (DOF) and other regulators’ push to build a robust Islamic finance ecosystem, alongside initiatives such as the issuance of sukuk bonds and the implementation of Shariah-compliant deposit insurance, reported Manila Bulletin.
Islamic insurance and finance have been developing in the Philippines. In 2024, the Insurance Commission (IC) issued the first takaful licences. The first sukuk issuance was undertaken in December 2023.