Malaysia is considered one of the Asian tigers that achieved tremendous globally competitive economic development success as a result of a positive environment that is conducive to doing business. Bank Negara, the Malaysian Central Bank, during the past two decades has spent significant efforts to establish and develop an environment that allows Islamic banks and financial services institutions to grow and prosper. Bank Negara, as part of its general plan for the financial sector, aims at enabling Islamic banks to reach 20% of the total banking operations. Malaysia has achieved significant progress in developing products and operations in Islamic banking and financial services, which has contributed to cross boarders Islamic banking services. There is now wide spread acceptance, even among non-Moslems, of Islamic financial products in Malaysia. Positive economic future prospects are likely to fuel the increasing demand for financial services.