The first program of the Sultanahmet Participation Finance Talks series, organized by the Marmara University Institute of Islamic Economics and Finance (MUISEF), was held on Thursday, 4 December at the Sultanahmet Rectorate Building. The event, titled “The Role of the Public Sector in the Development of the Participation Finance Ecosystem,” was attended by Deputy Minister of Treasury and Finance of the Republic of Türkiye Osman Çelik, Vice Rector of Marmara University Prof. Dr. Yaşar Kabataş, Director of MUISEF Prof. Dr. Ertuğrul Boynukalın, as well as academics, sector representatives, and students.
Deputy Minister Osman Çelik: “The environmentally sensitive nature of participation finance plays an important and pioneering role in social finance”
Speaking at Marmara University within the scope of the Participation Finance Talks, Deputy Minister Osman Çelik shared assessments regarding the current outlook of the Turkish economy and the structural transformation process in the field of participation finance. In his speech, Çelik explained the main framework of the current economic program, stating, “The ultimate objective of the economic program we are implementing is, in fact, to ensure lasting prosperity.” Referring to recent economic developments, he noted that growth reached 3.7 percent in the third quarter of 2025 with a balanced trajectory of consumption and investment. Emphasizing progress in the fight against inflation, Çelik said, “We have also made significant progress in the disinflation process.” Addressing risk indicators in financial markets, he pointed to the decline in Türkiye’s risk perception, noting that CDS has fallen below 240 basis points compared to previous years, as an important indicator of rising confidence.
Continuing his remarks, Çelik addressed the global Islamic finance ecosystem and stated, “In 2024, the global Islamic finance system recorded a strong annual growth of 14.9 percent, bringing its assets to approximately USD 4 trillion.” Explaining the entry process of public participation banks into the sector, he said, “In 2015, Ziraat Participation Bank, the first of our public participation banks, began operations.” Drawing attention to the sector’s growth, he added, “The share of participation banking within the total banking sector, which was around 5 percent in 2013, has now approached nearly 10 percent.”
Çelik then elaborated on the details of the ongoing Participation Finance Law efforts. He stated that, upon the adoption of the draft law prepared for the participation finance field, an independent Standards Board would be established, and a structure would be created to prevent overlaps with existing financial regulatory institutions. He emphasized that no specific models or products would be defined at the level of law; instead, these would be determined at a later stage by competent boards and supporting institutions to be established within the new structure. He also noted that special structures specific to participation finance would be formed within sector associations, and that transparency would be strengthened through rating and independent audit mechanisms addressed in the fifth article.
In the final part of his speech, Çelik touched upon digitalization, sustainability, and social finance, underscoring the importance of the environmentally sensitive nature of participation finance. In this context, he stated, “The environmentally sensitive nature of participation finance, along with practices that encourage solidarity such as qard al-hasan, zakat, and waqf, plays an important and pioneering role in social finance.” Addressing young people, he concluded by saying, “Ultimately, participation finance is not only a career field for young people, but also a field of vision.”
Vice Rector Prof. Dr. Kabataş Highlights the Alignment Between the Public Dimension of Participation Finance and Marmara University’s Historical Mission
In his opening remarks, Marmara University Vice Rector Prof. Dr. Yaşar Kabataş expressed his pleasure in hosting Deputy Minister Osman Çelik in Sultanahmet for this program addressing the role of the public sector in the development of the participation finance ecosystem. Stating that Marmara University continues its mission as a higher education institution centered on science, social contribution, and public benefit with its 21 faculties, various institutes, research centers, and more than 70,000 students, Kabataş emphasized that the university’s deep-rooted academic expertise in economics, finance, public administration, and law enables the education of graduates who assume critical roles in the public and private sectors.
Kabataş underlined that discussing participation finance at Marmara University in the context of the public sector’s role aligns with the institution’s historical mission. He described participation finance as a multidimensional approach that encompasses banking, insurance, and capital markets, prioritizes the real economy, and is grounded in ethical and principled foundations. Noting that the 40-year development of participation finance in Türkiye has been shaped by the visionary strategies of public authorities, he stated that regulatory arrangements and the involvement of public capital institutions have made significant contributions to the sector.
He added that the public sector’s holistic approach in recent years has enabled participation finance to gain a more visible position within Türkiye’s economic vision, and described the program as a strategic platform that brings together the public sector, academia, and industry representatives on a common intellectual ground. He concluded his remarks by expressing his hope that the event would produce valuable outcomes for both the sector and public policies, and thanked all stakeholders who contributed to the organization.
Prof. Dr. Boynukalın: “The Determining Role of the Public Sector Continues in the 40-Year Journey of Participation Finance in Türkiye”
In his opening speech, Prof. Dr. Ertuğrul Boynukalın, Director of the Institute of Islamic Economics and Finance, stated that the guiding role of the public sector has been decisive in the 40-year development of participation finance in Türkiye. He noted that Marmara University’s long-standing tradition in economics and commercial sciences dating back to 1883 has been transformed into an institutional structure in the field of Islamic economics with the establishment of MUISEF. He reminded the audience that the Institute is the first and only institution in this field in Türkiye established by a Presidential Decree. Drawing attention to the academic legacy shaped by the contributions of distinguished scholars such as Mehmet Genç, Sabri Orman, Hayrettin Karaman, and Ahmet Tabakoğlu, Boynukalın emphasized that MUISEF aims to educate qualified human resources, produce scientific research, and contribute to the field of participation finance by integrating theory and practice through collaboration with the public sector and industry.
Stating that the Institute currently hosts students from 28 different countries and offers a rich academic environment reflecting the universal character of Islamic economics, Boynukalın emphasized that participation finance is not merely a technical financial model, but a holistic approach centered on justice, stability, moral values, and social trust. He noted that the healthy development of the system requires strong public support, a consistent legal framework, and the continuity of long-term policies. He described the forthcoming Participation Finance Law as a critical step that will strengthen standardization, transparency, and compliance with principles in the sector. He concluded by stating that the growth of the participation finance ecosystem is only possible through the combined functioning of public policy, academia–industry cooperation, qualified human capital, and an effective regulatory framework.
Following the speeches, a panel discussion and Q&A session was held under the moderation of Assoc. Prof. Dr. Abdulkadir Atar, a faculty member of the Institute. The program continued with a plaque presentation. Marmara University Vice Rector Prof. Dr. Yaşar Kabataş presented a plaque of appreciation to Deputy Minister Osman Çelik. The event concluded with a group photograph featuring the speakers and guests.
