In China, Islamic mortgage aims to offer a halal financing solution to Chinese Muslims and non-Muslims living in China who wish in the context of Islamic sharia to use Islamic financial products in in China.
In China Islamic finance is used not only for Chinese Muslims who aspire to the use of halal financial products, but especially to position themselves in the world to promote its business activities through halal finance which gives it easier access to Muslim countries.
China, via Hong Kong and Singapore, seeks to position itself as a financial centre of choice for Islamic finance and capitalize on the growth of trade links between China, the Middle East and the African continent. Asian and African states want to attract outside Muslim investors who had previously tended to invest in Europe or the United States.
Gulf investors and Islamic banks have a lot of money and want to buy dollar-denominated sukuk by attracting Chinese funds.
With 23 million Muslims in China and a prominent position of Africa in its diplomacy and foreign trade, Beijing has the assets to become a player of choice in Islamic finance.
Currently, there is very little Islamic finance in China despite a Muslim population. It was therefore an opportunity for the Qataris to be the first to develop this alternative finance to allow access to many people concerned about ethical finance.
Chinese are looking for ways to export Islamic finance beyond their borders, and in neighbouring countries with large Muslim populations.
CHINA ONLINE SHARIA BANK