TEHRAN - The head of Iran Securities and Exchange Organization (SEO) has said that Islamic capital markets are great platforms to offer financial instruments with positive socio-economic impacts, IRNA reported.

Speaking at the 16th Islamic Capital Market Conference in Tehran, Hojatollah Seyedi stated that financial innovation is the basis of any progressive financial system, including the Islamic financial sector, adding: “Today, we are witnessing a leap in financial instruments that meet both Sharia principles and modern investment needs.”

“For example, green sukuk is a modern tool that enables the financing of environmentally sustainable projects in accordance with Islamic principles,” he noted.

In addition, the integration of blockchain-based smart contracts in sukuk structures can increase transparency, reduce costs, and simplify management processes, Seyedi said.

According to the official, such developments are an example of the adaptability and potential of the Islamic capital market in facing today's complex challenges.

EF/MA