United Arab Emirates banking group leads new Shariah-compliant bank for Sudan
Arab support for the controlling regime in Khartoum is taking another step forward, with the establishment of a well-funded Shariah-compliant bank and "network of branches throughout the country." Read the story in AME Info, or below the fold here.

United Arab Emirates: Wednesday, December 29 - 2004 at 09:35

UAE investors take lead role in Emirates and Sudan Bank launch
Sudan's central bank has given its approval for the fully Islamic USD 200 million Emirates and Sudan Bank to be set up in Khartoum, the country's capital, it was announced yesterday.

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H.E Dr. Mohammed Khalfan Bin Kharbash with the founders’ committee of Emirates and Sudan Bank.

The new bank, which is backed by a number of leading Islamic financial institutions, is expected to begin operations next year and plans to quickly expand out of its Khartoum headquarters and create a network of branches throughout the country. All its operations, services and products will be fully Shariah compliant.

The crucial backing of Sudan Bank, the central bank, has opened the door to the full establishment of Emirates and Sudan Bank with a declared capital of $200 million and paid capital of $100 million.

H.E Dr. Mohammed Khalfan Bin Kharbash, the Minister of State for Finance and Industry and Chairman of the founders' committee of Emirates and Sudan Bank, said: 'Our aim in setting up this bank is to support the economic development of Sudan.'

Dr Kharbash, who is also Chairman of Dubai Islamic Bank (DIB), added: 'The creation of the new bank draws tighter the historically close ties between Sudan and the UAE, a great supporter of economic and trade cooperation between Arab countries. He added: 'UAE investors reacted enthusiastically to the opportunity to set up the bank.

'Sudan's economic indicators are generally positive and forecasts for gross domestic product, balance of payment, balance of trade, exchange rates, and foreign investments suggest that the country is poised for an economic upswing, particularly after the latest developments to do with the peace treaty.

'It is crucial to the country's further progress that it has solidly established banks and financial institutions with the resources and facilities to offer a service that can facilitate international transactions.'

Dr. Kharbash confirmed the bank would soon begin to offer a full range of Shariah-compliant services and products that meet the needs and requirements of all sections of the Sudanese community, both business and retail. He sees a crucial role for the bank in interbank and regional financial transactions and investment. All the usual retail and corporate banking services will be offered and Emirates and Sudan Bank has confirmed it will invest in developing local staff to service its imminent branch network.

Sudan has become a magnet for investors, businesses and financiers since the signing of a peace treaty between the north and south of the country. It is believed to have large reserves of oil.