At 7th AICIF, Shettima, Sanusi Canvass Islamic Finance as Catalyst for Africa’s Growth, Inclusion

Sanusi: empower small businesses, women to fight poverty

Ummahani, Katuka Seek Non-Interest finance potential

Vice President Kashim Shettima, the Emir of Kano, Sanusi Lamido Sanusi, and other top financial experts have urged African countries to harness the power of Islamic finance to drive inclusive and sustainable development, saying the model offers a moral and practical framework for financing Africa’s economic transformation.

Speaking at the 7th African International Conference on Islamic Finance (AICIF) in Lagos, Shettima who was represented by his Special Adviser on Economic Matters, Dr Tope Fasua said Africa must turn its demographic advantage into equitable prosperity, stressing that “finance must build, not burden.”

The conference, hosted by the Metropolitan Law and Metropolitan Skills Ltd in collaboration with the Securities and Exchange Commission of Nigeria (SEC) with the theme “Africa Emerging: A Prosperous and Inclusive Outlook”.

“Our sukuk issuances, now in their seventh cycle, have funded over 120 major road projects covering nearly 6,000 kilometres,” Shettima said. “Each bond represents a covenant between government and citizens, proof that finance can serve humanity.”

He said President Bola Tinubu’s ongoing reforms including exchange rate unification, subsidy rationalisation, and modernisation of tax and customs systems were improving investor confidence and positioning Nigeria as a hub for ethical finance under the African Continental Free Trade Area (AfCFTA).

The Vice President argued that Islamic finance instruments such as sukuk, takaful, murabaha, and waqf are redefining access to finance for excluded households and small businesses.

“Africa’s future must be financed from within guided by justice, inclusion, and sustainability,” he declared, urging policymakers to expand transparency and investor protection frameworks for non-interest finance.

Shettima added that takaful insurance is extending protection to millions of unbanked Nigerians, while waqf endowments are emerging as tools to fund education, healthcare, and small enterprises.

Also speaking, Emir of Kano and former Central Bank Governor, Sanusi Lamido Sanusi, challenged Islamic banks and financial institutions to shift their focus from large corporate transactions to empowering small and medium-sized enterprises (SMEs) and underserved communities.

“I would be happier to see Islamic banks that are big, but more importantly, ambitious enough to grow a market that delivers real value to people and helps reduce poverty,” he said.

Sanusi stressed that Africa’s true prosperity lies in financial inclusion, urging Islamic institutions to “go to the grassroots” and dismantle social and cultural barriers that have historically limited access to credit — especially for women.

“The empowerment of women is what will contribute to prosperity in Africa,” he added.

Earlier, Conference Chairperson, Ms Ummahani Ahmad Amin, said Africa must close its $170 billion annual infrastructure gap by tapping into the $3.88 trillion global Islamic finance industry.

“Artificial intelligence is already reshaping finance. We must ensure ethical guardrails guide its use,” she said.

The Chairman of the Securities and Exchange Commission (SEC), Mr Mairiga Katuka, disclosed that Nigeria’s non-interest capital market has grown rapidly, with sovereign sukuk raising over ₦1.4 trillion to fund 124 critical road projects nationwide.

He said the country now has 19 registered halal mutual funds managing ₦112 billion in assets, up from just one in 2008, adding that SEC is developing frameworks for blockchain transparency, tokenisation, and innovative sukuk.

The conference, featured panel sessions, a startup pitch competition, and awards honouring innovators in ethical finance.

Experts at the event unanimously agreed that Islamic finance with its principles of equity, fairness, and risk-sharing could become the moral compass of Africa’s financial future, if backed by stronger governance, literacy, and inclusion policies.