Sharjah Islamic Bank (SIB) announced that it has joined NASDAQ Dubai’s rapidly growing Islamic financing Murabaha platform, which offers unique advantages to bank customers seeking Sharia’a solutions.
SIB is the first bank to join the facility since the official launch of the NASDAQ Dubai Murabaha Platform last month. The platform was set up by NASDAQ Dubai jointly with Emirates Islamic with the aim of strengthening Dubai’s position as the Capital of the Islamic Economy globally and has the potential to make Dubai the international centre for processing Sharia’a-compliant financing transactions.
Through the NASDAQ Dubai Murabaha Platform, individual and institutional clients of SIB will be able to complete financing transactions efficiently and easily, within minutes. The platform is the ideal alternative to many traditional Islamic financing solutions, which can carry a risk of losses through price movements, spreads and poor liquidity as well as delays.
His Excellency Mohammed Abdulla Al Gergawi, Chairman of the Executive Office of His Highness Sheikh Mohammed Bin Rashid Al Maktoum and Chairman of the Board, Dubai Islamic Economy Development Centre, said: “The NASDAQ Dubai Murabaha Platform is a milestone in achieving the initiative launched by His Highness Sheikh Mohammed Bin Rashid Al Maktoum, the Vice President and Prime Minister of the UAE and Ruler of Dubai, to develop Dubai as the global Capital of Islamic Economy, under the direction of His Highness Sheikh Hamdan Bin Mohammed Bin Rashid Al Maktoum, the Crown Prince of Dubai. SIB’s decision to make use of NASDAQ Dubai’s platform reflects the future vision for the growth of the Islamic finance sector in the UAE.”
His Excellency Essa Kazim, Chairman of Dubai Financial Market (DFM) and Secretary General of Dubai Islamic Economy Development Centre, said: “The NASDAQ Dubai Murabaha Platform offers significant benefits of efficiency and speed to individuals and companies seeking a Sharia’a financing framework. SIB’s membership of the platform demonstrates the capacity and willingness of financial institutions in the UAE to collaborate productively with each other in the interests of their clients and the ongoing progress of the Islamic finance sector.”
Mohamad Abdalla, Chief Executive Officer of Sharjah Islamic Bank, said: “We are very excited to offer the platform’s services to a wide variety of our clients for a range of purposes, from mortgages and personal finance to funding for corporate growth and expansion. The platform is an excellent fit with SIB’s strategy of enhancing its provision of reliable and efficient Islamic solutions on a cost effective basis to meet the needs for participants.”
Abdul Wahed Al Fahim, Chairman of NASDAQ Dubai, said: “SIB’s initiative in being the first bank to join the platform since its launch demonstrates its commitment to enhancing the Islamic financing environment in the region. NASDAQ Dubai and Emirates Islamic will build on the growing success of the platform to attract more UAE and regional banks, so that their clients can also benefit from its advantages.”
Hamed Ali, Chief Executive of NASDAQ Dubai, said: “The NASDAQ Dubai Murabaha Platform bridges best practice international capital markets standards with the specific requirements of Sharia’a financing. We have created a reliable and effective facility that provides clients with the confidence that all aspects of their Islamic financing needs are fully catered for.”
More than Dhs3bn of financing has been processed on the platform for thousands of clients, involving transactions of more than Dhs12bn, since a pilot phase of the project began in September 2013.