Qatar says Islamic bank to be set up with IDB "soon"

  • Share via facebook
  • Tweet this
  • Bookmark and Share

Qatar expects to go ahead soon with its plan to establish a big, international Islamic bank, Finance Minister Youssef Kamal said on Monday.

Last April the Qatari government signed a memorandum of understanding with the Jeddah-based Islamic Development Bank, a multilateral lender, and Saudi Arabia's Dallah Albaraka Group to establish a bank with initial capital of $1 billion.

Asked on Monday when the bank would be set up, Kamal replied: "Soon." He did not elaborate on the timing, ownership or other aspects of the new institution.

A scarcity of very large, cross-border Islamic banks, which could spread ground-breaking products and best practices around the Gulf and the world, is seen by many analysts as holding back the growth of Islamic finance.

Islamic banks control about a quarter of the banking market in the Gulf Cooperation Council but their average asset base is a third the size of conventional banks, according to a study last year by consultants Ernst & Young.

Related:
Join the Discussion

Disclaimer:The view expressed here by our readers are not necessarily shared by Arabian Business, its employees, sponsors or its advertisers.

Please post responsibly. Commenter Rules

  • No comments yet, be the first!

Enter the words above: Enter the numbers you hear:

All comments are subject to approval before appearing

Further reading

Features & Analysis
Shuttered banks, ATM queues and $77 daily limits: Greece plunges into crisis

Shuttered banks, ATM queues and $77 daily limits: Greece plunges into crisis

Breakdown in talks between Athens and its creditors plunged the...

Malaysia fund's $4.5bn rescue may weigh on Abu Dhabi's IPIC

Malaysia fund's $4.5bn rescue may weigh on Abu Dhabi's IPIC

International Petroleum Investment Co came to the aid of Malaysia...

Debt market beckons as Saudi bourse opens to foreigners

Debt market beckons as Saudi bourse opens to foreigners

Corporate bond issuance in the kingdom is the most active in...

Most Popular
Most Discussed