The Islamic Corporation for the Development of the Private Sector (ICD) (https://ICD-PS.org/), the private sector arm of the Islamic Development Bank Group (IsDBG), signed with Asia Alliance Bank (AAB) a USD 10 Million Line of Financing Agreement to support small and medium enterprises (SMEs) in Uzbekistan and an Advisory Agreement on launching an Islamic Window on behalf of the Bank.
Mr. Umidjon Khakimov, First Deputy Chairman of the Board of AAB and Mr. Ayman A. Sejiny, CEO of ICD, signed the Line of Financing Agreement for a USD 10 Million facility and the Advisory Agreement on launching an Islamic Window for the Bank earlier today at ICD’s Headquarters in Jeddah, Saudi Arabia.
The USD 10 Million Shari’ah – compliant Line of Financing facility based on Wakala structure will be utilized by AAB to provide financial support to the private sector in Uzbekistan, including SMEs through Islamic modes of financing.
This financing is the third Shari’ah – compliant facility for AAB, which will enable the institution to expand Shari’ah -compliant product offerings along with other banking services.
The intended Islamic Window will create an opportunity for AAB to be one of the foremost wholly profit-sharing vehicles, offering Islamic products & services in Uzbekistan. As a result, the AAB will diversify its products and sources of funding and increase its profits.
Mr. Sejiny, commented: “For the past years cooperation between ICD and Uzbekistan has been developing at a dynamic pace, especially in the financial sector. We entrusted our partners including AAB the task of attracting foreign direct investment for further financing of potential projects and help develop the private sector. Asia Alliance Bank is cooperating with ICD to raise funds based on the Wakala structure and set up an Islamic Window in order to carry out the tasks as set.”
Mr. Khakimov added: “Our collaboration with ICD will be considered as another key milestone toward customers satisfaction. Through the Line of Financing and the Islamic Window, we will be able to expand outreach to more clients using Shari’ah compliant financing.”Distributed by APO Group on behalf of Islamic Corporation for the Development of the Private Sector (ICD).
About the Islamic Corporation for the Development of the Private Sector (ICD):
Established in 1999, ICD (https://ICD-PS.org/) is a multilateral financial institution and a member of the Islamic Development Bank Group (IsDBG). The purpose of the ICD is to promote, in accordance with the principles of the Shari’ah, the economic development of its 54 member countries by encouraging the establishment, expansion and modernization of private enterprises producing goods and services in such a way as to supplement the activities of the IsDB. For more information about ICD, visit https://ICD-PS.org/
About JSCB “Asia Alliance Bank”:
Asia Alliance Bank (http://www.AAB.uz/uz/) was established on 15 August 2009 as a Joint-Stock Commercial Bank for the promotion and support of the private sector in Uzbekistan. Since its inception, AAB was active, reliable and stable participant in the country's financial services market. AAB has achieved significant positive indicators since opening: 8 branches and 16 mini-bank centers throughout the country with more than 600 employees.
AAB is a solely state-owned universal commercial bank, which carries out all kinds of banking operations represented in financial services market including servicing of private and corporate clients. Its principal activities are commercial and retail banking operations, transaction with foreign currencies, origination of loans, guarantees and letters of credit offered to private sector in the country.
For more information you can contact Mr. Mansur Avchiev (Mansur.Avchiev@aab.uz) or visit http://www.AAB.uz/uz/.
Signing of the USD 10 Million Line of Financing Agreement and an Advisory Agreement between the Islamic Corporation for the Development of the Private Sector (ICD) and Asia Alliance Bank (AAB), Uzbekistan