IslamicFinance.de

Russia's Vnesheconombank (VEB) and the Islamic Development Bank (IDB) Group will establish a Partnership Fund. According to VEB Chairman Sergei Gorkov, the joint fund will be based on the principles of Islamic finance and will aim at promoting investment in the Russian economy and financing high technologies. The joint contribution of VEB and the IDB Group to the fund's capital will amount up to $100 million. Third-party investors will be involved as well. Gorkov added that the Middle East market is one of the strategic areas of cooperation for Vnesheconombank. It plans to open a representative office in Abu Dhabi, the United Arab Emirates, and create a Russian business desk there. It will provide access to sales and capital markets in the region and create opportunities for partnership with local players.

The 9th international economic summit is taking place in Tatarstan, Russia. The plenary session was dedicated to the discussion of partnership financing to develop relations between Russia and Organisations of Islamic Cooperation (OIC). Islamic Finance World Leader Ashruff Jamal was the moderator of the plenary session. Tatarstan's President Rustam Minnikhanov said Tatarstan was making its first steps in Islamic banking. One year ago Deputy Chairman of the Federation Council Evgeny Bushmin claimed the Bank of Russia and legislation were not ready to spread Islamic banking. In answer to that, Sberbank Deputy Chairman Oleg Ganeyev replied many questions are arising while implementing Islamic banking, but it is possible to work even within the acting Russian legislation. Vnesheconombank (VEB) Chairman Sergey Gorkov announced the appearance of VEB bank offices in Abu Dhabi, Iran and Bahrein.