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Dubai Investments to launch Arkan Bank

Dubai Investments will lead a consortium of investors to launch Arkan Bank, a wholesale Islamic financial institution with an initial paid-up-capital of $100 million, the investment company said on Tuesday.
Arkan Bank, which will have an authorised share capital of $500 million, is applying to the Dubai Financial Services Authority for approval for a licence to operate as an Islamic financial institution, it said.
It plans to offer Shariah-compliant banking services and investment products to serve ultra-high-net-worth individuals, corporates, and institutional clients.
Khalid bin Kalban, managing director and CEO of Dubai Investments, and the founder and chairman of Arkan Bank, said the launch of Arkan Bank is coming at an opportune time in the UAE Islamic banking landscape.
"The bank will initially focus on the GCC region and subsequently build scale and reach across its business lines, products and geographies to become the top-tier Islamic wholesale bank in the region and global arena," he said.
The bank plans to list its shares on Nasdaq Dubai within 12 months of its establishment.
"Coupled with strong public markets, sukuk and mergers & acquisition outlook, the future looks optimistic for the bank and aligns with Dubai's vision to become the capital of Islamic economy," Kalban said.
Abdulla Mohammed Al Awar, CEO of Dubai Islamic Economy Development Centre (DIEDC), said Dubai is fast-tracking its efforts to achieve its envisioned goal of becoming the global centre of Islamic finance. "Amidst these trends, the proposed launch of Arkan Bank bodes well for the Islamic banking sector that has experienced exceptional growth in the region at a faster pace than anywhere else in the world. The move aligns with the Dubai's strategy to support the development of Sharia-compliant banking and reinforces Dubai's reputation as the Islamic banking gateway to the Middle East, North Africa and South Asia." 
Mohammad Alqahtany, managing director and chief executive officer of Abwab Capital, and the founder and managing director of Arkan Bank, said, "We are grateful to Dubai Investments for its support as a strategic partner in this landmark initiative. Our aim is to be a first-class wholesale bank rooted in Islamic values, and set a new standard in Islamic banking to capitalise on the increasing demand for Shariah-compliant banking services witnessed in the global market." - business@khaleejtimes.com