Barbara Bako, Abuja.
Financial technology company Open Space has launched an Ethical Finance platform as part of efforts to widen access to transparent, asset-backed and Shariah-compliant financial services in Nigeria.
Speaking at the launch in Abuja on Tuesday, the Chief Executive Officer of Open Space, Titus Adakole Ikeh, said the platform was designed to connect financing with real economic activities while promoting fairness, accountability and trust.
Ikeh said Ethical Finance was not targeted at Muslims alone, but at individuals and businesses seeking transparent financial relationships, responsible financing and sustainable wealth creation.
According to him, Open Space is combining financial services with artificial intelligence to make financing more accessible to underserved Nigerians, including small businesses and entrepreneurs who face difficulties accessing conventional sources of capital.
He said the platform currently offers Shariah-compliant products including Murabaha for asset financing, Ijarah for leasing productive assets, Diminishing Musharakah for shared ownership financing and Mudaraba for savings and investment based on profit-sharing rather than interest.
Ikeh explained that the products were structured to help small businesses, professionals, farmers, transport operators and other entrepreneurs acquire productive assets while providing alternatives to interest-based borrowing.
Presenting a paper titled “Islamic/Ethical Finance: A Promising Pathway for Nigeria’s Inclusive Financial Future,” Open Space’s Shariah Adviser, Zubair Mughal, said the global Islamic finance industry had evolved from a largely faith-based alternative into an increasingly mainstream component of the international financial system.
Mughal said the appeal of Islamic Ethical Finance was extending beyond Muslim communities because of its emphasis on asset-backing, transparency, fairness, risk-sharing and ethical investment.
He cited the ICD–LSEG Islamic Finance Development Report 2025 as estimating that global Islamic finance assets reached about $5.98 trillion in 2024, saying the growth demonstrated the increasing relevance of the sector globally.
Mughal said Nigeria was well positioned to become a major Islamic/Ethical Finance hub in West Africa, citing its large population, entrepreneurial base, growing capital market and increasing demand for non-interest financial products.
He noted that regulators, banks, Takaful operators, microfinance institutions and capital market participants had helped establish the foundation for the sector’s development in Nigeria.
According to him, the next phase of growth would depend largely on making ethical financial services more practical, accessible and technology-driven.
“Fintech can reduce transaction costs, simplify customer onboarding, improve transparency and make ethical financial products available to households, SMEs, market traders and young entrepreneurs,” he said.
Mughal also disclosed that Open Space plans to obtain the appropriate regulatory licences for non-interest financing, with the potential issuance of Sukuk as a subsequent step.
He said such an initiative could create additional investment opportunities for institutional and individual investors, while supporting business expansion and contributing to the development of Nigeria’s non-interest capital market.
Mughal said Open Space’s focus on products such as Murabaha, Ijarah and Diminishing Musharakah could help shift financing towards real assets and productive economic activity, with applications ranging from business equipment and inventory to vehicles, property and other productive assets.
He added that Open Space’s exposure to international Islamic finance markets, including through engagements in Türkiye, Canada, the United Kingdom, Pakistan and the United Arab Emirates, could help the company draw from global experience while adapting relevant practices to Nigeria’s market.
Mughal said Nigeria had reached an important stage in the development of Islamic/Ethical Finance, adding that the priority now should be to scale the sector through responsible regulation, credible Shariah governance, technology, investor education and accessible products.
He said the combination of these factors could enable Islamic/Ethical Finance to make a stronger contribution to financial inclusion, SME development, ethical investment and Nigeria’s broader economic growth.
Open Space is a Nigerian financial technology company focused on using technology to provide accessible and innovative financial solutions.
Through its Ethical Finance platform, the company is developing non-interest financial products designed around transparency, asset-backing, responsible financing and sustainable economic participation.
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