MALAYSIAN LAW FIRM WELCOMES AUSSIE MOVE ON ISLAMIC FINANCE

MELBOURNE, May 21 (Bernama) -- Leading law firm Zaid Ibrahim & Co (ZICO),
has welcomed Canberra's decision to review the treatment of Islamic finance in
Australia.

"It puts Australia on par with other financial centres, including the United
Kingdom, Hong Kong and Singapore, that have tax neutrality provisions to
facilitate the development of Islamic finance in their respective
jurisdictions," said ZICO chairman and senior partner, Dr Nik Norzrul Nik
Hassan Thani.

He said the creation of an "enabling environment" for Islamic finance,
including a dynamic tax infrastructure, would be a key criterion for the
successful implementation of Islamic finance in Australia.

Australia's Assistant Treasurer, Senator Nick Sherry on Tuesday announced
the Australian Board of Taxation would undertake a comprehensive analysis of
the country's tax laws to ensure, where possible, it does not inhibit the
provision of Islamic finance, banking and insurance products.

Senator Sherry said Australia wanted to create a fair and level playing
field for Islamic financial products entering the Australian market.

Zaid Ibrahim & Co, the first Asian law firm to gain approval from Australia
last December to practice in Sydney and Melbourne, said this was an opportune
and strategic initiative by Australia, as it positioned itself as a key player
within the global Islamic finance sector.

Islamic finance is a rapidly growing part of the global financial system and
it is estimated, the Islamic finance, banking and insurance market alone is
worth almost RM3 trillion (A$1 trillion) and is envisaged to reach RM15 trillion
(A$5 trillion).

ZICO said it planned to leverage on the Australian Islamic finance
initiatives and was eager to be part of this emergent but potentially vibrant
sector in Australian banking and finance through its two Australian offices.

ZICO's commitment to the Islamic finance community, particularly in
Australia, is reflected in the firm's roadshows in Melbourne and Sydney on May
24 and May 28, respectively.

On May 27, ahead of the Sydney roadshow, ZICO will launch its own enterprise
to establish and reaffirm its role in raising public awareness and promoting
opportunities for Islamic finance in Australia.

"This effort represents a critical step in fostering a synergistic
partnership between Malaysia and Australia," ZICO said.
-- BERNAMA