Saudi based Islamic bank enters India, first branch in Gujarat

[email protected] (CD Network)
June 1, 2016

Ahmedabad, Jun 1: The Saudi Arabia-based Islamic Development Bank (IDB) is set to start its India operations from Gujarat. The international financial institution which has its headquarters in Jeddah has chosen the home state of Prime Minister Narendra Modi to set up its first branch in India. The state will also get 30 medical vans as part of IDB's social sector initiatives.

jeddah

Islamic Development Bank headquarters located in Saudi Arabia's Jeddah.

IDB's main objective is to foster the economic development and social progress of member countries as well as the Muslim community in accordance with principles of Shariah (Islamic law). The bank has 56 Islamic countries as its members.

The developments follow an agreement between India's state-owned Exim Bank and the Islamic Corporation for the Development of the Private Sector (ICD), a private-sector arm of the IDB group, as part of deals signed during Modi's trip to Saudi Arabia in April.

The IDB, a multilateral lender with an authorised capital of $100 billion, counts 56 Muslim nations as its members. Most of these countries belong to the Organisation of Islamic Cooperation.

ISLAMIC BANKING: SOME FACTS 

  • It is a finance system based on the principle of not charging interest, which is prohibited under Islam. Now, it goes by a more formal moniker – participatory banking.
  • Instead of charging interest, the lender shares a part of the profit – or loss – with the borrower
  • It is open to non-Muslims as well
  • By 2020, the global Islamic banking industry profit pool is expected to reach $30.3 billion.

Its India operations will be led by Zafar Sareshwala, a prominent Muslim businessman from Gujarat whom the Modi government appointed chancellor of the Maulana Azad National Urdu University soon after assuming office.

The agreement in Jeddah was signed by Exim Bank regional head Tarun Sharma and ICD CEO Khaled Al Aboodi in the presence of Ahmad Javed, India's ambassador to Saudi Arabia.

To be based in Ahmedabad, the bank will offer interest-free capital to business startups, including small and medium enterprises within India, marking the entry of the Islamic banking – also known as participatory banking – into the country.

According to an Exim Bank statement, the IDB's bigger role will be in the $100 million (about Rs 670 crore) credit line it has pledged “with the aim of facilitating the export of goods and services from India to ICD's member countries”.

“The ICD will be open for business to all Indians, regardless of religious background. In Malaysia, the KFC chain runs on ICD finance although it is owned by a Chinese firm. Some people have this unnecessary issue with Islamic banking, which is actually known as participatory banking across the globe now,” said Sareshwala, who has been named as a director for the bank's India operations.

The IDB has also promised $55m (about Rs 380 crore) for a state-of-the-art rural mobile medical network – the first leg of which will be launched in Gujarat.

The IDB, which complies with global Islamic finance norms, does not charge interest on loans because the religion prohibits it. Instead, it charges a part of the profit and also shares any losses with the borrower.

According to the EY's World Islamic Banking Competitiveness Report 2016, Global Islamic banking assets would have reached US$1 trillion by 2015-end.

Comments

Ahmed
 - 
Thursday, 2 Jun 2016

Poorna Prakash, Mangalore
We have since long following banks
Catholic Syrian Bank
Nakodar Hindu Bank
The Hindu Co-Operative Bank Ltd.

But, you have a problem as soon as we get a Islamic bank.
This is nothing else but, intolerance.

Don't forget another bank: The Hindu Vote Bank.

Rikaz
 - 
Wednesday, 1 Jun 2016

Why feku's state is getting all of those facilities? why don't they bring it to Karnataka....

suresh
 - 
Wednesday, 1 Jun 2016

All the investment only to gujarat? Why? This investment will be mis used by Gujju's as it says if the business in loss it will be shared by both. gujju's are well known how to make them fool. This will create more mallya;s in Gujarat.

moshu
 - 
Wednesday, 1 Jun 2016

Hope one day rss will understand islam well and will follow the rule of Allah

moshu
 - 
Wednesday, 1 Jun 2016

Siddarth mumbai openly backing his hawala racket crooks operating by his modi govt

Naren kotian
 - 
Wednesday, 1 Jun 2016

It is done to curb India's black money outflow and inflow by hawala means ..since 90% of hawala transactions are mostly encouraged by just particular section ...anyways since they have given 100 million credit line ..so we have ample opportunity to export pig related products to 56 Islamic countries ..hahaha ...nia monitoring is must as terrorists are most likely to use this bank ...

muhammed rafique
 - 
Wednesday, 1 Jun 2016

Appreciate Modi's wisdom in realising the importance of Islamic banking

Rizwan
 - 
Wednesday, 1 Jun 2016

Good initiative by P.M , i appreciate his move. Both india and KSA will be benifited by this.

Asif
 - 
Wednesday, 1 Jun 2016

Al Hamdlillah... itrs great news... waiting from a long time... hope it soon opens its branches all over India.

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News Network
January 7,2020

Bengaluru/Ballari, Jan 7: Former minister BZ Zameer Ahmed Khan of the Congress set a one-week deadline for the BJP government on Monday to arrest Ballari City BJP legislator G Somashekhara Reddy for his recent speech warning Muslims of dire consequences if they continue to protest against the Citizenship (Amendment) Act.

Police have already booked Reddy, younger brother of tainted mining baron G Janardhan Reddy, under section 153-A (promoting enmity between different groups on grounds of religion) of the Indian Penal Code.

However, Khan took the fight to Reddy a step further. “If the government fails to arrest Reddy by January 13, I will stage a dharna outside his house in Ballari, come what may. Let them do whatever they want,” Khan told reporters in Bengaluru.

In his speech at a pro-CAA rally organized by BJP workers and ABVP activists in Ballari, the BJP legislator had said, “We [Hindus] are 83% and they [Muslims] are 17% and if we take law into hands, you know what will happen.”

Khan said on Monday, “I challenge Reddy, the coward, to unsheathe his sword and cut me down first. It is absolutely shameful for a legislator to speak such things against a particular community. Why is Prime Minister Narendra Modi, who often says Sabka Saath, Sabka Vikas, silent?”

On his part, Reddy on Monday said he stood by what he said. “What I meant was you Muslims should not get swayed by CAA protests and damage public property. We [Hindus] are sons of the same mother and live peacefully. However, they [Muslims] should not test our [Hindu] patience. I stick by my words 100%,” he said.

A delegation of the Ballari district Congress unit also submitted an appeal to the deputy commissioner, inspector general of police and superintendent of police on Monday to arrest Reddy for his provocative speech.

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News Network
April 26,2020

Dubai, Apr 26: Families were shattered as the three dead bodies of UAE-based Indian expats were returned to the country from New Delhi, India.

Family members waited outside the Indira Gandhi International Airport for hours, but they were later told to go back home as the remains of expats Jagsir Singh, Sanjeev Kumar and Kamlesh Bhatt were flown back to Abu Dhabi, following a new order implemented by India's Ministry of Home Affairs.

Inderjeet, brother-in-law of Sanjeev based in Al Ain, said their family in Punjab was devastated.

"This is a non-coronavirus death. We had a death certificate as proof and all necessary documents from Indian Embassy. But the body was returned while our family members waited outside the airport. This is very shocking," Inderjeet said.

"The body shouldn't have been returned. It's difficult to travel across states due to Covid-19 restrictions and also to arrange the ambulance," he added.

"Now the embassy has told me to come on Sunday. They said hopefully things will be sorted out in a day or two."

Meanwhile, the family of Kamlesh resides in the Indian state of Uttarakhand. This means, with existing travel restrictions, they had to secure permits from different states to reach New Delhi.

Dubai-based social worker Girish Pant, who is in touch with the family, said they are all depressed with the unfortunate turn of events.

"His brother Vimlesh had to return home without the remains. They are all clueless and in pain. With the new order from the Ministry of Home Affairs, I have informed the family that the body will reach them within 48 hours. I am also coordinating with the Indian Embassy," Pant said.

Comments

Ahmed A.K.
 - 
Monday, 27 Apr 2020

Now support BJP

 

Indian origins dont have place to cremate in their own land while our HM is planning to give nationality to minorities of other countries.

 

what a joke man!!!

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coastaldigest.com news network
May 8,2020

Mangaluru, May 8: After continuous pressure on Union government from Karnataka NRI Forum- UAE, the first special flight carrying 180 Kannadigas who stranded at UAE due to Covid-19 pandemic will fly from Dubai to Mangaluru on May 14.

The special flight will take off from Dubai at 4.10 p.m. UAE time to reach Mangaluru at 9.10 pm IST on May 14. Earlier it was reported that the flight will operate on May 12. However, sources of Mangaluru International Airport and Air India today confirmed that first flight will be on May 14.

The state government has directed Dakshina Kannada and Udupi districts authority to quarantine all passengers once they reach.  

All Kannadigas will be given permission to travel back home only after they test negative in Covid test at Dubai airport.

In fact, Karnataka was missing in the list of states to receive special flights when Ministry of External Affairs arranged them to bring stranded Indians at UAE. Special flights were arranged only to Kerala and Tamil Nadu people stranded at UAE in the first stage.

Thanks to Karnataka NRI Forum of UAE which opened helpline (https://uaekannadahelpline.club) to seek assistance to Kannadigas, nearly 2000 Kannadigas have registered for assistance in which 127 pregnant women, 27 senior citizens, 700 people who have lost jobs aftermath of coronavirus sought assistance from NRI forum.

After providing food and shelter to Kannadigas who lost jobs at UAE since March 2020, NRI forum put pressure on both state and Centre to arrange special flights to send them to home. 

The NRI Forum has approached Indian Consulate at UAE and chief minister BS Yediyurappa to evacuate Kannadigas, but got no response. Following this, Karnataka NRI Forum President Praveen Shetty approached Union Minister for Chemicals and Fertilizers DV Sadananda Gowda for help. Gowda immediately responded the call and he spoke to MEE to arrange special flight for Kannadigas as well.

Indian government has promised to arrange special flight to Mangaluru or Bengaluru by next week to bring Kannadigas.

Comparing to other Indian States, Karnataka has the highest number of its people working in UAE. Around 1.25 lakhs Kannadigas are working in UAE in which majority are working classes. Due to Covid-19 pandemic thousands of workers have lost jobs, Mr. Shetty explained.

"Indian government had arranged special flights from US, UK, Singapur and other countries to bring back Indians, but excluded UAE in the list. Actually, lakhs of Indians are working in UAE as labourers and in odd jobs, the government should have given first priority to bring labourers rather rich one", he opined.

"BJP has 27 MPs from Karnataka. We continuously requested all BJP MPs and state government but none of them came to our help. Thanks to Mr Gowda for his timely intervention to bring stranded Kannadigas", Mr Shetty said. 

Comments

Prarthana Prab…
 - 
Friday, 8 May 2020

Dear Sir/ Madam,  we are struck in the US for over 2 months due to Tavel restrictions imposed by India. I have incurred huge expenses for our stay here and would like to go back to our country as soon as possible. I have a small children and aged parents back home to take care. They are finding difficult cope with the situation as I am the sole bread earner in the family. Appreciate if you can help me at the earliest.

 

Priyanka Prabh…
 - 
Friday, 8 May 2020

Dear Sir/ Madam,  we are struck in the US for over 2 months due to Tavel restrictions imposed by India. I have incurred huge expenses for our stay here and would like to go back to our country as soon as possible. I have a small child and aged mother back home to take care. They are finding difficult cope with the situation as I am the sole bread earner in the family. Appreciate if you can help me at the earliest.

 

 

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