Dubai Land Department signs MoU with Mawarid Finance to conduct Guarantee Accounts for property development projects

Under the MoU, Mawarid will provide management services of property development Guarantee Accounts with respect to the laws of the UAE and Dubai.

The agreement forges the mutual cooperation between the private and public sectors in the country.

The MoU was signed by Mr. Juma Bin Humaidan, Deputy Director-General of the Land Department and Mr. Mohammed Al Neaimi, CEO of Mawarid Finance. This took place at the Land Department's Deira headquarters on Thursday April 3 2008, with the attendance of officials from both parties.

This MoU allows Mawarid Finance to be the Land Department's account trustee, with the aim of dealing with the department's registered property developers, the process will involve the account trustee opening a Guarantee Account for registered developers, based on a written document from the department after all the requirements have been met.

After signing the MoU, Mr. Juma Bin Humaidan, emphasised that it would benefit the property sector and the overall economic development of the country. Bin Humaidan said the MoU aims to facilitate procedures for property developers in Dubai, ensuring that the department is providing the highest standard of services.

Bin Humaidan added: "We are pleased to sign this agreement with Mawarid Finance, which we chose to be a Guarantee Account trustee because of Mawarid's expertise in this domain. And because of the quality of its products and the Sharia'a-compliant financial services it provides to companies and individuals from all sectors".

Mr. Mohammed Al Neaimi stressed the importance of the agreement and Mawarid's enthusiasm about the MoU. Since Mawarid's launch in 2006, it has entered into alliances with key players in the UAE and the MoU is part of the company's strategy to provide a variety of innovative services to all community and all business sectors.

Al Neaimi said: "We are working continuously on improving the level of products and services we offer our clients. This led to the signing of our MoU with the Land Department today. The MoU is related to property development Guarantee Accounts in Dubai, where Mawarid will be the account trustee for all accounts approved by the department and it will also be able to deal with the property developers registered at the department".

Al Neaimi added: "Mawarid Finance will open a Guarantee Account for developers through written agreement with the developing company within prescribed rules and conditions, and after getting approval from the Land Department".

Mawarid Finance signed an agreement last year with the Ministry of Finance, enabling the company to register banking guarantees on the behalf of the Ministry of Labour using the electronic dirham discipline.