The launch of "Murabaha" through equities programme by the Bahrain Bourse (BHB) has moved closer to implementation with the exchange appointing Dr Shaikh Osama Mohammed Bahar as its sharia adviser.

Shaikh Osama has developed expertise in structuring Islamic finance products, including sharia contracts, said a report in the Gulf Daily News (GDN), our sister publication.

His scope of work will include the review and approval of all sharia-compliant securities, funds, and other investment instruments.

The role will also include the review of all sharia-based products to ensure compliance with underlying sharia principles.

In addition, he will be responsible for the issuance of sharia statements (fatwa) with regards to sharia-compliant securities listed on the bourse, and supervising its operations to ensure their compliance with underlying sharia principles.

Shaikh Osama said the launch of sharia-based products, services, and financial solutions is in line with BHB's strategy that aims at enhancing market liquidity, and providing a wider range of products and solutions.

This includes Islamic solutions that offer investment alternatives for both issuers and investors, he added.

Experts define 'Murabaha' as a sales contract that fixes the price of certain goods or items required by a customer, including a pre-agreed profit margin. - TradeArabia News Service