MANILA: The Philippines has moved a step closer to opening the country to the wide range of banking and other financial services available through Islamic banking and finance.
The move comes after the House of Representatives recently approved on second reading a proposed bill providing for the regulation and organization of Islamic banks in the Philippines.
In an emailed statement to Arab News, Congressman Henry Ong said the “eventual enactment of the (proposed) law would be one of the historic moments in Philippine banking history.”
The country’s first Islamic bank, according to the lawmaker, was created in 1972.
“With this imminent new law, there will be more Islamic banks not just for Mindanao but also for the rest of the country,” said Ong, who is chairman of the House Committee on Banks and Financial Intermediaries.
Parallel to this bill’s movement through Congress, the Philippine Stock Exchange has its Shariah index of stocks on the PSE where some 60 securities are listed.
Ong noted that the establishment of more Islamic banks, especially those based here in Southeast Asia and in the Middle East, will greatly benefit the 10 million-plus Filipino Muslims, many of whom are “unbanked.”
He pointed out that this is so as the proposed measure will make available particularly to Filipino Muslims, “a vast array of banking, lending, and investment products and services.
“Mindanao’s economy will reap great harvests because of this bill. Filipino Muslims in the Middle East and Southeast Asia would most likely be able to send more remittances to their families and friends. Businesses in Mindanao will have more financing options to grow,” Ong said.
“Upgrading and expanding Islamic banking and finance will help stimulate economic growth in the Bangsamoro Autonomous Region, as well as in Filipino-Muslim communities in Metro Manila and other urban areas nationwide,” Ong continued.
The lawmaker likewise emphasized said that aside from providing the people of Mindanao more banking options, Arab investors and bankers will have more reasons to participate in the growth of the Philippine economy.
“More Islamic banks means more direct investments, including investments by international Islamic banks especially those here in ASEAN, the Middle East, and even Africa,” he said.
Under the proposed bill, Islamic banking business refers to banking business with objectives and operations that do not involve interest (riba) which is prohibited by the Shari’ah and which conducts its business transactions in accordance with Shariah principles.
Section 3 of the bill also provides that the Central Bank’s Monetary Board may authorize the establishment of Islamic banks. It may also authorize conventional banks to engage in Islamic banking arrangements, including structures and transactions, through a designated Islamic banking unit within the bank.
Under prescribed rules and regulations, it may also authorize foreign Islamic banks to establish banking operations in the Philippines under any of the modes of entry provided under Republic Act No. 7721, as amended, otherwise known as “The Liberalizing of Entry and Operations of Foreign Banks in the Philippines.”
The Monetary Board may regulate the number of participants in the Islamic banking system, taking into account the requirements of the economy, the preservation of the stability of the system, and the maintenance of healthy competition.
The Central Bank shall exercise regulatory powers and supervision over the operations of Islamic banks.
The bill further mandates that Islamic banks shall be responsible in ensuring compliance with Shari-an principles. For this purpose, it shall constitute a Shariah advisory council composed of people who have knowledge or experience in Shariah and in banking, finance, and law.
Philippine Congress moves a step closer to expanding Islamic banking
Philippine Congress moves a step closer to expanding Islamic banking
- Establishment of more Islamic banks in Southeast Asia and the Middle East will benefit more than 10 million Filipino Muslims
- The Central Bank will exercise regulatory powers and supervision over the operations of Islamic banks
US hotels seek World Cup boost after tourism dip under Trump
- At the US hotels that Meade Atkeson manages, a drop in tourism weighs heavily on business — but hoteliers like him hope that World Cup enthusiasm will soon eclipse wariness over President
WASHINGTON: At the US hotels that Meade Atkeson manages, a drop in tourism weighs heavily on business — but hoteliers like him hope that World Cup enthusiasm will soon eclipse wariness over President Donald Trump’s policies.
The US hospitality sector has been reeling from a tourism slump in the world’s biggest economy, which became the only major destination to see a drop in foreign visitors last year.
“Just financially, it’s difficult when international travel is down,” Atkeson told AFP, noting that such visitors tend to stay longer and spend more.
Foreign travelers account for nearly a quarter of business at the three hotels under Sonesta group that he manages — two in Washington and a third in Miami Beach.
Yet, in the first eleven months of 2025, US official data showed that inbound travel dropped by 5.4 percent.
Canadians were noticeably absent, with travel plunging by 21.7 percent from 2024, translating to about four million fewer people. The decline was nearly seven percent for French visitors.
Industry professionals see this as a consequence of Trump’s policies, even if they may not openly say so.
Visitors have chafed at the Republican president’s sweeping tariffs on foreign goods, broadsides against other countries, tightening immigration rules and portrayal of certain Democrat-led cities as ridden with crime.
Canadians “were asked to be the 51st state, right?” Atkeson said.
“If you talk to Canadians, many of them have chosen not to travel out of conscience” or on principle, he added.
Brazilian tourists meanwhile “can go anywhere they want,” he said. “And so they may have gone to Europe, they may have gone to the islands.”
‘Fear’
Thousands of kilometers away, the major resort city of Las Vegas in Nevada — boasting 150,000 hotel rooms — has also had a bad year.
Elsa Rodan, a chambermaid at the Bellagio resort and casino, says her establishment is “blessed” compared with others.
But even so, it has had to lower prices to attract guests, added Rodan, a representative of the Unite Here union who spoke at a Washington press conference.
Unite Here President Gwen Mills urges for a renewed effort to lobby the Trump administration over policies and rhetoric that she believes are jeopardizing the sector employing more than two million people.
According to her, hoteliers are not pushing the government enough.
Employers express “fear, the fear of picking your head up,” she said.
Hopefully ‘better’
Fewer visitors and overnight stays, alongside a drop in revenue, have triggered a $6.7 billion shortfall for Nevada hotels in 2025, according to the American Hotel and Lodging Association (AHLA).
But the organization hopes that 2026 will be a turning point — it is counting on the World Cup, from June 11 to July 19, to attract visitors.
Eleven US cities will be hosting matches.
“It’s being equated to having nearly 80 Super Bowls in just over a month,” AHLA spokesman Ralph Posner told AFP.
“The economic lift won’t be limited to host cities,” he added. “Destinations across the country are hoping to benefit as international visitors extend their trips and travel between markets.”
Las Vegas, for example, hopes to draw fans who might stop there before or after a game in Los Angeles or Kansas City.
Organizers say that besides the seven million spectators in stadiums, the World Cup is set to attract 20-30 million tourists.
The whole event, they believe, can generate $30 billion for the US economy.
“I hope that things will look better,” Atkeson said.
His Miami hotel is under renovations and cannot host much World Cup-related activity.
But his Washington establishments are highlighting their proximity to Philadelphia, where several matches will be held.
Another complication is war in the Middle East following US-Israeli strikes on Iran, which could snarl travel.
“It’s a little too soon to tell how we’re going to do with that, but we’ll see,” he said.









