Moves to establish a local Islamic bank face hurdles

Korea is hoping to attract funds from oil-rich Middle East countries by setting up a local Islamic bank in the country, but the effort is still facing many challenges.
Al Amir Bank would be based on the principles of Islamic Shariah law, which bans charging interest on financial transactions.
But the committee has had problems finding Islamic investors, preferably from the Gulf region.
One problem Korea is confronting is that one of the most prominent banks from the Middle East in operation here is Iran’s Bank Mellat, whose operations were recently suspended as part of Korea’s sanctions against Iran for its suspected nuclear weapons program.