Bank Of Baku

One more bank starts leasing services under shariat rules in Azerbaijan

One more bank starts leasing services under shariat rules in Azerbaijan
# 03 February 2012 11:09 (UTC +04:00)
Baku. Elnur Huseynguluyev – APA-Economics. Azerbaijan’s Turanbank OJSC has implemented a tool of Islamic banking – “Ijara” (lease).

The tool is implemented in cooperation with the Islamic Corporation for Development of the Private Sector (ICD) since 2008. According to agreement with the ICD, a tool aimed at the development of the transport sector. According to the conditions, funding of the project has been considered for 5 years, of which first-year with grace. Under the second agreement (“Vakala”) with the ICD, the bank is authorized to use the tool “Mubaraha”.

To date, Turanbank is developing Islamic banking with the ICD and the Islamic Trade Finance Corporation. Funding for this instrument – “Murabaha” (Resale), a two-stage “Murabaha” and “Ijara”.

Remind that, Turanbank has been in operation since 1992. It operates 11 branches, 16 ATMs, 74 POS-terminals and 239 employees across the country.
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THE OPERATION IS BEING PERFORMED