GulfBase Live Support
02/07/2015 04:03 AST
The Islamic bank Kuveyt Türk based in Turkey opened its first branch in Germany on Wednesday as it becomes the first financial institution which offers a full range of banking services in accordance with the Islamic law in the country.
The bank, which operates under guidelines that conform to Islamic law, already had a branch operating in the south-western city of Mannheim. But with the regulator's approval, the bank has now become fully operational.
Banks that operate under Islamic law do not engage in speculative investments or investments in ventures that do not mesh with Islamic rules. Interest cannot be charged on loans, though the bank may purchase assets from a customer and then resell them for a profit.
The head of Kuveyt Türk, Kemal Ozan said that there is potentially a great demand for his institution's services, especially among the four million Muslims living in Germany.
"Our market research has shown, that 21 percent of Muslims in this country would see an Islamic bank as their natural household bank," he said. Past analyses of the market indicated a potential market volume of 1.6 billion euros (1.73 billion dollars).
Islamic finance has been slow to gain a foothold in Europe due to a fragmented market and lack of industry-specific regulations.
Britain remains Europe's main Islamic finance hub, with five full-fledged Islamic banks, with a Luxembourg venture also planning to launch an Islamic lender of its own.
In 2004, the German state of Saxony-Anhalt raised 100 million euros via Islamic bonds.
Daily Sabah
Ticker | Price | Volume |
---|---|---|
SABIC | 114.77 | 5,915,941 |
Index | Closing | Change |
---|---|---|
NIKKEI 225 | 21,292.29 | -96.29 (-0.45 |
DAX | 12,002.45 | -94.28 (-0.77 |
S&P 500 | 2,614.45 | 32.57 (1.26 |
05/04/2018
Stock markets recoiled on Wednesday as China retaliated in an escalating trade war with the United States, leaving investors reluctant to take positions in anything but the safest of assets.
The Gulf Today
04/04/2018
Egypt will start meeting bond investors in Europe this week ahead of a potential euro-denominated bond issue, a document from one of the banks appointed to arrange the meetings showed on Tuesday.
Gulf News
04/04/2018
Foreign investment in France rose 16 per cent in 2017 to levels not seen for a decade as President Emmanuel Macron’s (pictured) bid to attract money from abroad gains pace, a government report said o
Oman Daily Observer
03/04/2018
Explaining Japan’s economy to foreign audiences is hard.
One big reason for this is that explaining something as large and complex as a $5 trillion economy is an inherently difficult task - the
The National
03/04/2018
China raised import duties on a $3 billion list of US meat, apples and other products on Monday in an escalating dispute with Washington over trade and industrial policy.
The government of
The Gulf Today