South Korean Parliament Fails To Act On Tax Benefits For Sukuk At Urging of Christian Groups

Arab News reports today that the South Korean National Assembly failed to approve a bill introduced by the Ministry of Finance that would have given tax neutrality to Shariah-compliant financial instruments. It would have given sukuk (Islamic bonds) the same tax treatment as conventional bonds.  According to this report, some members of the National Assembly have been heavily lobbied by Christian evangelical groups, some of which have close ties to groups in the United States. The Korean Association of Church Communication is among the groups that have generated concern that approval would facilitate the flow of funds to terrorist groups.