The new Islamic investment bank Tabarak that specializes in arranging shariah-compliant finance for major projects was officially opened today at a lunchtime reception in the Ritz-Carlton. Tabarak has secured a mandate to arrange up to $1.1 billion in project finance secured against bankable collateral.
Founding shareholders of the new bank are chairman Abdulwahab Al Shiri who established the Roshana International Group in Saudi Arabia after successfully starting real estate and jewelry enterprises in the 1990s, and CEO Dr. Mohamed Ahmadi, a career banker who set-up a branch of a well known Swiss private bank in Dubai.
Reformed bank
‘A year ago we bought the Tabard Investment Bank, originally formed in 2009 under the rules of the Dubai Financial Services Agency, and are delighted to finally re-launch today,’ said Dr. Ahmadi.
‘Our mission is to provide world class Islamic financial solutions and build solid, long term relationships with our clients. This is in keeping with the vision of the Ruler of Dubai, His Highness Sheikh Mohammed bin Rashid Al Maktoum to put Dubai at the heart of the Islamic Economy.’
He told ArabianMoney that Tabarak has secured a one billion euro facility that it can tap for project finance provided that secure bankable collateral can be provided for the deal. Islamic banks typically require promisory notes against hard assets like real estate or gold that may in turn be insured by a third party.
By acting as an intermediary Tabarak hopes to speed up the process with its large network of regional and international contacts. Project finance can be difficult to obtain for small and medium sized enterprises in the region and those with the right kind of collateral could find this a useful new avenue to take.
