3 venture capitalists show interest in Malaysia’s Islamic Digital Economy

KUALA LUMPUR: Three venture capital companies have shown interest in capitalising on Malaysia’s Islamic Digital Economy’s growth potential, said Malaysia Digital Economy Corporation ( MDEC).

MDEC Growth Ecosystem Development vice- president Norhizam Kadir said they were Captii Ventures, Ethis Ventures and Quest Ventures.

He said Malaysia’s leadership in Islamic finance and the halal sector put the country in a favourable position to dominate the Islamic Digital marketplace.

The IDE framework is a joint effort between MDEC, the Department of Islamic Development (Jakim) and Hall Amanie Sdn Bhd, he told a press conference on the development of Malaysia’s first Islamic Digital Economy (IDE) Framework here yesterday.

Norhizam said the framework was part of Malaysia’s strategy to cement the country’s leadership in the global halal marketplace and create a unique and competitive advantage to accelerate the growth of digital economy.

“The IDE Framework will help these venture capital companies to ensure that the funds raised comes from Shariahcompliant sources, including ensuring that their transactions and fund investments are Shariah- compliant,” he said.

He said the framework, which is expected to be ready by the first quarter of next year, would also provide guidelines or some form of certification for startups to ensure that their products and services are Shariah compliance.

Hall Amanie director Datuk Dr Mohd Daud Bakar said in developing the framework, the three parties engaged various stakeholders, including Bank Negara Malaysia, the Securities Commission Malaysia and other government agencies.

“We are working closely with Jakim as they are the custodians of the halal certification of Malaysia. We try not to reinvent the wheel, but if it is necessary, we may need to put a new proposal to make Islamic venture capital a working solution in Malaysia,” he said. — Bernama