Equity Participation in Islamic Banks and Financial Institutions


IDB supports the establishment of Islamic banks and financial institutions through equity participation. Worldwide, the Bank has equity investment in 29 Islamic financial institutions, both unlisted and listed on stock exchanges, amounting to a total of ID 94.35 million ($138.59 million). In 1426H (2005) the Bank participated in the capital increase of five financial institutions. Also in 1426H (2005), IDB made additional equity investment totaling ID14.36 million ($20.73 million) in four Islamic banks in Bosnia & Herzegovina, Sudan, Indonesia, and Pakistan.

 

The IDB Group supported the establishment of a re-takaful (insurance) company in the U.A.E. with participation through equity investment amounting to $12 million to support the trade financing operations of Islamic banks.