Doha - QNB Al Islami announced the signing of a QR300 million Islamic financing agreement (Wakala) with National Leasing Company (NLC).
QNB Al Islami funds the expansion of NLC with a maturity of five years. Al Islami has in a very short time succeeded in taking a leading role in the Islamic banking products and services that are being provided to the Qatari market.
QNB Al Islami's Shari'a Advisory Board has been reviewing and certifying the products and services to ensure they are Shari'a-compliant, before they are launched. This agreement falls in line with QNB Al Islami's strategy of supporting Islamic banking services and activities in Qatar.
In the second quarter ending in June 2007, QNB Al Islami succeeded in achieving excellent results, with financing activities increasing QR1.7 billion (114.6%) to reach QR3.1 billion. Net profit for QNB Al Islami was up by QR47.0 million (155%) to reach QR77.3 million.
The number of QNB Al Islami branches have rapidly increased to ten since it was established in April of 2005 as the first by a commercial bank in Qatar.
QNB Al Islami offers a comprehensive portfolio of financial products and services which comply fully with Islamic Shari'a principles such as Current Account, Savings Investment Account, Fixed Investment Deposits and Deposits under Demand, Debit and ATM cards, personal finance, vehicle finance and home finance products. It also offers Project Finance products such as Istisna, Istisna over Ijara, Specified Ijara, Diminishing Musharaka and Sukuk.
Earlier this year, QNB Al Islami signed an Islamic Financing Agreement worth one billion Qatari Riyals with the BARWA Real Estate Company. The agreement will be utilized in financing BARWA's real estate investment projects and is done in compliance with Qatar Central Bank's regulations of real estate financing.
In 2006, QNB Al Islami was mandated by Qatar Real Estate Investment Company (QREIC) to lead the arrangement of an Islamic financing package totaling US$375 million (QR1.368 billion) for Qatar Real Estate Investment Company. QNB Al Islami signed an agreement with Dubai Islamic Bank (DIB), Gulf International Bank (GIB) and Standard Chartered Bank (SCB) to mandate the issuance of Sukuk and a syndicated Islamic facility in Qatar.
National Leasing Company (NLC) is a strategic client of QNB Al Islami. NLC deals mainly with ownership, leasing and selling of moveable assets, leasing and renting of fixed assets, all according to Islamic Shari'a principles. It was established in 2003.
NLC is conducting research studies with the assistance of businesses to enter into the Real Estate sector and contribute in the infrastructure boom in the State of Qatar.
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© Press Release 2007
