Sharjah Islamic Bank signs agreement with Ruwad

Dh1 billion allocated to finance SMEs

Sharjah, 27 November 2012 - Sharjah Islamic Bank (SIB) has announced signing an agreement with Ruwad Establishment. The signing ceremony was held at the bank's headquarters and attended by HE Mohammed Abdullah, CEO of Sharjah Islamic Bank and HE Ahmed Mohammed Al Midfa, Chairman of Ruwad, who signed the agreement on behalf of their respective organisations in presence of Ruwad's deputy chairman and members of the board as well as a number of senior officials from both parties.

As per the agreement, the bank will finance the enterprises agreed with Ruwad and that meet the criteria stipulated in the agreement.   

Ruwad will evaluate all projects and enterprises submitted by national entrepreneurs and verify their feasibility before providing the technical and administrative support, the necessary facilities and government waivers, and finally apply for the financing from Sharjah Islamic Bank.

Sharjah Islamic Bank (SIB) has allocated a Dh1 billion to finance small-scale corporations that run small to medium size enterprises with the aim to finance all small and medium enterprises (SMEs) in the country. SIB will, also, finance all enterprises carried out by Ruwad Establishment due to the growth witnessed by the small to medium size enterprises (SME) sector, as well as its growing importance on the international level.

Speaking on the occasion, HE Mohammed Abdullah, SIB CEO said: "The agreement aims to boost the potential of young nationals, develop the SME sector, and offer finance under the umbrella of credit facilities that enable small to medium companies to benefit from Sharia-complaint banking facilities. It is part of the bank's policy to support UAE young entrepreneurs, help them achieve their ambitions, and enable them to fulfil their responsibility towards society."

HE Ahmed Mohammed Al Midfa, Chairman of Ruwad, said: "The Establishment is indeed interested in nurturing young national entrepreneurs and supporting their enterprises that are in line with national modern development strategies. No doubt, the agreement with Sharjah Islamic Bank will support these goals. We expect this agreement will be a great success and will pave the way for additional future collaborations that serve the interests of both parties in the light of the shared vision. According to the agreement, the Sharjah Islamic Bank will offer maximum finance of Dh2 million for each enterprise. The first instalment will be after one year of receiving the loan with a payback period of 3 years that can be extended upon mutual consent of the bank and Ruwad. Loan and repayment will be specified according to the decision of the bank's Fatwa and Shariah Board, in line with the bank's credit and profit policy, and in consultation with Ruwad."

Al Midfa said: "By signing this agreement, we are striving with our partners in Ruwad to attract greater economic activity to the support of SMEs, while paying special attention to creativity, innovation, and the use of modern technology in enterprises that keep in touch with the developments that are being witnessed in the all economic, cultural and social fields in Sharjah."


For more information please contact:
Yousef Al Taweel
Sahara Communications
Mobile: 050 556 25 20

Fadia Daouk
Sahara Communications
Mobile: 050 538 39 73

© Press Release 2012


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