Emirates Islamic becomes the first Islamic bank to sign Shariah-compliant agreement with The Arab Investment and Export Credit Guarantee Corporation (Dhaman)

Dubai, 15 February 2024: Emirates Islamic, one of the leading Islamic financial institutions in the UAE, has announced a partnership with The Arab Investment and Export Credit Guarantee Corporation (Dhaman), becoming the first Islamic bank to sign a Shariah-compliant agreement to facilitate trade and foreign capital inflows within the Pan-Arab region.

Amplifying trade and investment opportunities, the agreement will see the launch of an insurance scheme that will promote business expansion into new geographies and markets within the Pan-Arab region.

The signing of the Shariah-compliant agreement marks a milestone for the evolving ecosystem of trade among the Arab nations, which has experienced remarkable transformation in the last few decades. Pan-Arab trade in goods and services grew by 32.4% during 2022 to reach USD 3.5 trillion, according to Dhaman’s second quarterly review for 2023.

The UAE Ministry of Economy’s Global Trade Risks Report for 2023 states that majority of businesses surveyed consider expansion into new markets and geographies as an integral driver of trade growth.

Farid Al Mulla, Chief Executive Officer at Emirates Islamic, said: “As part of our commitment to our core Islamic principles, Emirates Islamic is proud to collaborate on the first Shariah-compliant agreement with The Arab Investment and Export Credit Guarantee Corporation to empower our valued corporate clients. In line with our vision to be the most innovative Shariah-compliant bank for our customers, people, and communities, Emirates Islamic will continue to enter strategic partnerships, to deliver innovative products and enhance customer experience.”

Abdullah A. Al Sabeeh, Director General at Dhaman, said: “We are delighted to sign the partnership agreement with Emirates Islamic, which aligns with our commitment to support the economic and social development of the region by providing the necessary risk mitigation tools to facilitate the inflow of relevant investments and trade activities. We anticipate regional trade to thrive and benefit from a Shariah-compliant standpoint.”

Established in 1974 in Kuwait, Dhaman is a pioneer multinational organisation that has provided guarantee services against commercial and non-commercial risks for the last four decades. Dhaman is owned by the governments of Arab states and four Arab financial institutions.