The Islamic Corporation for the Development of the Private Sector says it has consummated a new product line, ‘Islamic Window’, to provide Islamic products and services for entrepreneurship and small businesses in Uzbekistan.
In a statement on Tuesday, ICD noted that the product, which is in collaboration with Turonbank, would enable the bank to diversify its products, funding sources and increase its profits.
“The intended Islamic Window will create an opportunity for Turonbank to be one of the foremost wholly profit-sharing Islamic Windows, offering Islamic products and services in Uzbekistan,” it stated.
Turonbank is one of the more recent partners of ICD and has been utilising the $10m Line of Financing Facility granted by ICD to finance Small and Medium-sized Enterprises in Uzbekistan.
ICD’s Chief Executive Officer, Mr. Ayman Sejiny, said, “This successful cooperation between our institutions is the next step towards enhancing our recent strategic partnership. Advisory services provided by ICD are strategic partnership to support the banking and Islamic finance industries in Uzbekistan.
“Through this strategic initiative, ICD will assist Turonbank in launching its first dedicated Islamic Window by providing them with a total solution covering development of the Shari’ah-compliant products, assistance in accounting, information technology, human resources and legal aspects of the operations; combined with on-site extensive theoretical training, to be supported by on-the-job training within one of the partner Islamic banks of ICD.”
Chairman of the Management Board of Turonbank, Mr. Chori Mirzaev, added, “Turonbank has been working constantly and introducing new banking services, hence the initiative of Islamic Window will be one of the most attractive financial services in the country.
“In this process, of course, the development of Islamic finance is one of the most important tasks ahead of us. The reason is that today banking products based on world experience, corresponding to customer requirements, are in demand. Therefore, we are also working in the transformation of a modern banking network in line with Islamic finance.”
Consequently, the bank, according to him, will be able to expand the range of services provided to the population, accelerate the development of entrepreneurship and small businesses, and create an instrument that offers retail and corporate products based on Islamic principles.
“Most importantly, thousands of new jobs will be created,” he added.