|07 January, 2020

Mashreq signs agreement with DIFC to provide Escrow account services to owners' associations

Mashreq becomes one of the few banks to sign an agreement to open Escrow accounts for owners' associations under DIFC's jurisdiction

Ahmed Abdelaal

Ahmed Abdelaal

  • Mashreq will also offer advisory services to real estate developers and owners’ associations based in the DIFC

Dubai, UAE: Mashreq, one of the leading financial institutions in the UAE, today announced that it has signed an agreement with Dubai International Financial Centre (DIFC), the global eighth ranked international financial centre, which will enable the bank to open Escrow accounts for owners’ associations in DIFC’s jurisdiction. Under DIFC regulations, Mashreq Bank is also registered to provide services to owners’ association companies. The agreement was signed by Zain Qureshi, Managing Director; Head Real Estate Finance and Advisory, Mashreq Bank and Jaber Al Suwaidi, Senior Vice President & Registrar of Real Property, DIFC Authority during an exclusive signing ceremony at DIFC.

The Escrow account agreement will see Mashreq provide GTB products and solutions to owners’ association companies, providing them with a range of innovative and convenient payments solutions. More specifically, the agreement will ensure independent management of the accounts of the owners’ associations, and will collect service charge contributions of owners in each account, while also monitoring their spending based on their approved budgets.

Commenting on the agreement, Ahmed Abdelaal, CEO, Mashreq Bank, said, “We are committed to supporting the real estate sector of the UAE, a vital pillar of the national economy. This partnership with DIFC will ensure that owners’ associations as well as their individual member’s banking needs are being catered to.  Moreover, the services will effectively safeguard and control appropriate utilization of their funds, while offering them with quick and seamless service, as and when they need it.”

Arif Amiri, Chief Executive Officer, DIFC Authority,said: “We are pleased to sign an MoU with Mashreq Bank, one of our strategic partners, to support its services to real estate developers and owners’ association based in the Centre. Supporting our clients is a key priority as it truly reflects our dedication to providing an enabling ecosystem from which financial institutions can thrive. As we commence our bold expansion plans, we look forward to delivering a robust regulatory environment and building a closer partnership with Mashreq Bank.”

Commenting on Mashreq’s agreement with DIFC, Zain Qureshi, Managing Director; Head Real Estate Finance and Advisory, Mashreq Bank, said, “Mashreq is delighted to partner with DIFC. This initiative is another example of our wider support to the country’s real estate sector, by offering services which effectively safeguard and control appropriate utilization of owner associations’ funds. As part of our remit, we will not only be able to open Escrow accounts for owners’ associations under DIFC’s jurisdiction, but also provide them with extensive advisory services, if they require. According to the agreement, owners’ contributions will be deposited in the Escrow account, following which funds will be disbursed based on DIFC’s robust guidelines – which will promote further transparency and integrity.”

As part of the agreement, Mashreq will act as a trustee between DIFC and owner association companies. Companies can open an owners’ association account – either a General Expense Account or/and a Reserve Account. In line with its digitization strategy, Mashreq will also open virtual accounts for reconciliation purposes.

To ensure exceptional customer service, Mashreq Bank will also provide a dedicated Real Estate Trust team, who will assist owner association companies with extensive advisory services as well as facilitate the opening of Escrow accounts for them. Mashreq will also provide owners’ associations with online access to their accounts in order to enhance transparency in their operations.

-Ends-

About Mashreq

One of the UAE’s best performing banks for five decades, Mashreq is a leading financial institution with an expanding footprint across the Middle East. We have international offices across Europe, Asia, Africa and the US, and a strong presence in all the financial capitals of the world.

As the oldest bank in the UAE, our 51-year old journey can be traced back to humble beginnings in 1967, followed by periods of rapid growth and strategic expansion. Throughout our history, Mashreq has differentiated itself by pioneering new-to-market concepts and launching unique products and services. 

Our innovative approach sets us truly apart. It also continues to win us numerous awards and accolades in all the fields of banking we operate in – Digital, Corporate, Retail, International, Treasury and Islamic, and across the multiple banking channels we deploy – mobile, digital, online, traditional and telephony. 

Mashreq is proud to be the only institution in the UAE to be awarded the Gallup Great Workplace Award for six consecutive years from 2014 to 2019.

For media enquiries, please contact:

Rana AlBorno                                                   
Public Relations, Mashreq                                            
Tel: 04 –6083629                                              
Email: RanaAlb@mashreq.com

About Dubai International Financial Centre

Dubai International Financial Centre (DIFC) is one of the world’s most advanced financial centres, and the leading financial hub for the Middle East, Africa and South Asia (MEASA), which comprises 72 countries with an approximate population of 3 billion and a nominal GDP of USD 7.7 trillion.

With a 15-year track record of facilitating trade and investment flows across the MEASA region, the Centre connects these fast-growing markets with the economies of Asia, Europe and the Americas through Dubai.

DIFC is home to an internationally recognised, independent regulator and a proven judicial system with an English common law framework, as well as the region’s largest financial ecosystem of more than 24,000 professionals working across over 2,300 active registered companies – making up the largest and most diverse pool of industry talent in the region.

The Centre’s vision is to drive the future of finance. Today, it offers one of the region’s most comprehensive FinTech and venture capital environments, including cost-effective licensing solutions, fit-for-purpose regulation, innovative accelerator programmes, and funding for growth-stage start-ups.

Comprising a variety of world-renowned retail and dining venues, a dynamic art and culture scene, residential apartments, hotels and public spaces, DIFC continues to be one of Dubai’s most sought-after business and lifestyle destinations.

For further information, please visit our website: difc.ae, or follow us on Twitter @DIFC.

© Press Release 2020

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