Global Investment House "Global" Sunday signed a KD15 million Islamic financing agreement with AlManar Financing & Leasing Company of which KD11 million has been already compounded.
Mr. Omar M. El-Quqa, Executive Vice President at Global, said, “the total “murabaha” agreement is KD15 million for 3 years and Global was able to close the first tranche amounting to KD11 million with a annual profit rate 7.25% distributed semi-annually.”
He added that Global is now in the process of closing the second tranche valued at KD4 million.
AlManar plans to use the money to support its future projects and double its share in the consumer financing market in Kuwait as it faces an increasing demand for Islamic financing.
One other side, Mr. Abdullah Al-Bader, General Manager of AlManar Leasing, expressed his pleasure for the closing of the first tranche and thanked Global for its efforts in the preparations and execution of the financing deal. “AlManar will use the money to broaden its financing operations by expanding its loans portfolio and fulfill its short term commitments,” he said.
Mr. AlBAder affirmed that all transaction are audited by AlMashoura Islamic Consultancy firm to insure their compliance with the Islamic Shari’a laws.
Mr. El-Quqa stressed that this agreement comes as Global relentlessly works to develop the Islamic financing market to provide exceptional Islamic investment tools that will be of interest to AlManar clients.
He added that the company has “developed its internal expertise to fulfill its clients investments need, specially in Islamic financing,” pointing that, “Global is currently considered as one of the leading companies that provides unique Islamic investment products for its clients,” pointing that “its Islamic financing operations crossed KD400 million in the past two years.”
Global is proponent and supporter of Islamic financing and it’s working on establishing a secondary market for this sector, mainly Murabaha, he asserted.
Mr. El-Quqa thanked AlManr for their trust in Global and choosing it to manage this operation.
Established in December 2003, Al Manar Financing & Leasing provides traditional and proprietary Islamic financial products and services. Al Manar is a closed-end Islamic financial institution with a capital of KD 30,000,000 ($100 Million).
The company was founded through the understanding and identification of the financial needs of individuals and corporations in a system compliant with Shari’a, with goals of facilitating development of the Islamic Finance industry in Kuwait and the Middle East.
Global is a full-fledged investment company incorporated in 1998. Its underlying foundation is to meet the high expectations of local and international clients, and to enhance the investment service industry in Kuwait and the region. Today, Global stock lists on the Kuwait Stock Exchange, Bahrain Stock Exchange, and Dubai Financial Market.
The company has accomplished much since the company’s inception, and has been vigorous in developing the capital markets. Global’s Assets under management crossed the KD1.4 billion (USD5 billion) threshold at the end of last August, then reached KD1.7 billion (USD5.9 billion) by the end of September 2005.
Global’s achievements have been recognized on local, regional, and international levels and have been recently awarded “Best Equity House in Kuwait” from Euromoney Magazine, “Gulf Excellence Award” from the Gulf Excellence Company.
