MANAMA: Al Baraka Banking Group (ABG) has joined Bait Al Bursa, the Islamic finance division of Bahrain Financial Exchange (BFX), it was announced yesterday. The BFX Bait Al Bursa's offerings come at an appropriate time when the Islamic market is eager for new pioneering and innovative products.
e-Tayseer, Bait Al Bursa's Murabaha liquidity management platform, is designed to make Al Baraka Banking Group scheduling and execution of their Murabaha transactions more streamlined and afford its users the benefit of reduced trade life-cycle and manual paperwork procedures resulting in savings of time and cost in executing transactions.
Additionally, it also offers a secure online environment with identifiable Sharia-compliant underlying assets in the GCC region.
"We are very pleased with our decision to become a registered user of Bait Al Bursa," ABG president and chief executive officer Adnan Yousif said.
"Our group will benefit greatly from the advantages of its first product e-Tayseer which we trust will further strengthen our Murabaha dealings efficiencies and we wish the BFX as a whole all the best in delivering their future plans.
"Innovative and pioneering initiatives like e-Tayseer will add up to the efforts of the Islamic finance industry to achieve higher levels of excellence and sophistication."
e-Tayseer, the first of its kind in the Mena region, is a fully automated platform for transactions in the supply, purchase and sale of assets for facilitating Murabaha transactions.
It allows suppliers to place their assets onto the platform ready to be purchased by financial institutions.
Financial institutions can then purchase these assets and conduct Murabaha transactions with counterparties to fulfil their liquidity management requirements in a secure online environment.
"We are delighted with the partnership between BFX and ABG which we believe will benefit and improve the current method of conducting Murabaha transactions by Al Baraka Banking Group," Central Bank of Bahrain (CBB) financial institutions supervision executive director Abdulrahman Al Baker said.
"Such innovative contributions by BFX and ABG will result in the further development of the Islamic finance industry.
"CBB supports such initiatives as they help in achieving greater transparency and improved efficiency in the liquidity management process between Islamic financial institutions."
e-Tayseer offers various Sharia-compliant assets in the Mena region as well as globally, where all processes are automated end to end.
"We welcome ABG and we take pride in partnering with such a reputed and leading Islamic financial institution," BFX managing director and chief executive officer Arshad Khan said.
"The participation of ABG on the e-Tayseer platform is a significant accomplishment for the BFX.
"We believe that both the ABG and the BFX share similar business principles and we look forward to working closely in the future."