the new silk road. the first was made at the 2nd world islamic economic forum ( wief ) on " unleashing the potential of emerging markets " in islamabad, pakistan in november 2006, while the second reference was during a special address at the global islamic finance forum - investors and issuers forum in march 2007. like the 14th century silk road, the current emergence of islamic financial products and services has brought together financial services providers across continents to trade on this new route. the emergence of the new silk road reflects the increasing and evolving economic and financial relationships and interlinkages, with islamic finance well positioned to further facilitate these linkages to offer mutually - reinforcing benefits to those who participate in it. the economic and financial linkages between asia and the middle east are growing through a significant expansion in trade and investment between the two regions and opportunities to leverage on the high level of savings and resources both these regions have been endowed with. indeed, the new silk road opens up the prospect of exciting opportunities for greater economic progress and prosperity for us. the new silk road has created linkages that build on the comparative advantages between asia and the middle east. for example, middle east domestic infrastructure requirements are estimated to total usd500 billion for the next 5 years, and asian companies have demonstrated the capacity to provide the technology, expertise and human capital to meet these infrastructure demands. indeed, the new silk road has facilitated the development and effective use of talent and expertise across the two regions. in addition, the new silk road has reinforced the rapidly evolving islamic financial industry and the growing significance of islamic financial markets and institutions. to meet the escalating demand for new products and services, top - tier financial institutions are known for their commitment in research and development to enhance innovation, especially in process and product innovation in order to remain competitive. in the process, such financial players will be able to better position themselves to be part of the global financial community. as such, human intellectual capital has become an important factor in sustaining the performance and competitiveness of the islamic financial industry. indeed, the fast pace of innovation in global financial services in general and in the islamic financial services sector in particular, demands new expertise and skills. since research and development remains at the forefront of any well - acclaimed international financial framework, the same is true for any player in the islamic finance industry. at a time when global economic development plays a decisive role in determining how markets perform, the accessibility to accurate and concise market information is crucial.

kuwait finance house's initiative, in this regard, as the first islamic bank worldwide to possess an economics & investment banking research arm based in malaysia, is a major advancement on this front. the establishment of the research unit will facilitate information sharing amongst the islamic financial institutions and other key stakeholders. the setting up of the research unit provides vital information which can be shared. the promotion of information sharing and exchange of knowledge will encourage better understanding and spur global collaboration among the financial players. through in - depth market knowledge of the financial services industry, it will without doubt spur greater innovation in islamic financial services, leading to cutting - edge products and services. equally important, it is also expected to enhance linkages between the middle east and asian regions, acting as a conduit to promote greater economic integration and encourage deeper intermediation of islamic markets. this further underscores the economic integration of both the middle east and asian regions and further enhances linkages in the new silk road, a manifestation of the thriving global islamic finance market. ladies and gentlemen, on this occasion of the official launch of kuwait finance house research, it is with pleasure that i congratulate kuwait finance house for its forward - looking outlook and commitment to contribute to the success of islamic finance by allocating resources in having a dedicated research entity to drive its islamic banking business forward. it is my hope that kuwait finance house will continue to play a major role in the initiatives to further develop islamic banking both here and in asia. i wish kuwait finance house research every success in its endeavours. in the name of allah, most gracious, most merciful, it now gives me great pleasure in officiating the launch of kuwait finance house research. thank you.