Ammon News - AMMAN –– Jordan Dubai Islamic Bank (JDIB) on Sunday officially entered the Kingdom’s banking sector when its main office was opened in Amman.

The bank, 52 per cent of its JD50 million capital owned by Jordan Dubai Capital (JDC) and the Dubai Islamic Bank (DIB), brings up the number of banking institutions that operate in Jordan under Islamic principles to three, and the total number of licensed banks to 24.

During a press conference held yesterday to announce the launch of the bank’s operations, JDIB Vice Chairman Khaled Al Kamda indicated that the idea of establishing the bank came after an in-depth study showed that the Jordanian market still needs Islamic financial services.

“The idea of establishing the bank was conceived before the global financial crisis hit the international banking system,” Kamda said, adding that the bank’s shares will be traded at the Amman Stock Exchange in April of this year.

Asked whether JDIB will be trading Islamic sukuk, Kamda indicated that there are plans and cooperation with the government to introduce this financing instrument to the Jordanian market, noting that JDIB will be the first institution to issue Islamic sukuk in the Kingdom.

“JDIB will be able to compete in the Jordanian banking sector due to shortage of financial services that are based on Islamic principle,” he replied to a question on whether the local market will accommodate the new bank.

Sami Afghani, the chief executive officer of JDIB, said the bank will be able to compete with other banks through easy credit terms provided to individuals and the private sector, adding that there are serious plans to provide mortgage loans at competitive lending cost and possibly longer maturity periods.

He indicated that between seven and ten branches will open in the Kingdom’s main cities this year.

Dubai Islamic Bank was established in 1975 as the world’s first full-service Islamic bank and has won several regional and international awards for its Islamic financial services.

(Jordan Times)



*** Officials and employees of the Jordan Dubai Islamic Bank pose for a photo outside the bank’s headquarters in Jabal Amman during the inauguration ceremony on Sunday (Photo courtesy of JDIB)