UK Islamic Banks are expanding services to cater for London based property financing demand. QIB UK, part of the Qatar Islamic Bank group, and Al Rayan bank a UK subsidiary of Qatar based Masraf Al Rayan have both recently expanded offices and services to meet demand.
QIB-UK, has begun providing Sharia-compliant Murabaha Facilities for London properties. The product will allow financing of buy-to-live properties as well as refinance customers’ existing properties in London.
Murabaha is a contract of exchange based on sale-and-purchase contracts with a predetermined cost and profit. The seller states the cost he has incurred on the asset to be sold and sells it to another person by adding some profit or mark-up to the buyer.
“The fusion of knowing our customers for over three decades in Qatar and our experience in the London property market means we are perfectly placed to help them find the right property and get the most from their investment” said Duncan Steele-Bodger, Chief Executive Officer of QIB-UK.
QIB-UK offers its customers a range of Sharia-compliant banking services including Current Accounts in GBP allowing for convenient settlement of UK payments, cheques, inward and outward transfers, direct debits, standing orders and more. Additionally, the Bank offers Wakala Deposits, Instant Access Savings Account, Notice Accounts and other premium products and services at attractive rates.
Commercial property financing was the fastest-growing element of Al Rayan Bank’s real estate asset book in 2016, climbing 44% to £396.5m. “Customers chose commercial property finance from Al Rayan Bank for many reasons,” said Maisam Faisal, head of commercial property finance at Al Rayan Bank.
Al Rayan Bank has financed projects ranging from town retail parks, mixed-use industrial warehouses and student property. It also has worked on a number of syndication deals, enabling it to fund larger projects such as the former Olympic village site in east London.
UK government owned company, the Royal Mint recently achieved compliance with the Shari’ah Standard on Gold for retail sales of its gold and silver bullion coins and bars, enabling it to serve Islamic finance investors via trading site www.royalmintbullion.com.
Chris Howard, Director of Bullion for The Royal Mint said: “The recent introduction worldwide of the Shari’ah Standard on Gold has enabled The Royal Mint to take the next logical step in the expansion of its ‘complete bullion solution’. Shari’ah compliance allows us to make Royal Mint bullion accessible to a wider variety of investors at a time when Islamic investment is experiencing rapid growth in the UK and worldwide.”