New era for Mawarid entrusted with issuing certificates of deposit

It is noteworthy that the Dubai Department of Economic Development requires the companies to have a deposit certificate in order to obtain a licence to practice such activity.

Meanwhile Saleh Abdul Ghaffar Al Hashimi Deputy Chief Executive Officer of Mawarid Finance emphasised that Mawarid is the first establishment in the United Arab Emirates to acquire this privilege.

Al Hashimi added that the successes of Mawarid Finance, which were achieved at all levels within a short period since entering the business arena at the end of 2007, were behind the trust placed in us by the Dubai Department of Economic Development and which has granted Mawarid the concession of issuing such certificates.

He said that according to such resolution Mawarid is counted as one of the banks operating in the country.

Al Hashimi stressed the importance of this decision and pointed out that no investor will be able to practice any economic activity without obtaining the certificate of deposit, since it should be submitted to the competent authorities within the portfolio of documents required to get the permission of practice.

Al Hashimi referred that the approval of Dubai Department of Economic Development was based on the decision of the Governing Council of the Central Bank of UAE No 165/6/2004, which was issued in 2004 and gave the Islamic financial institutions eligibility of issuing certificates of deposit.

Al Hashimi explained that Mawarid has achieved remarkable and unprecedented achievements particularly in the field of finance and business, in both internal and external markets.

He stated that the decision will enable Mawarid to compete with other Islamic finance institutions.

He stressed that the decision to give Mawarid Finance the power to issue certificates of deposit rather than other financial institutions operating in the self-competence is a sign of appreciation and will put great responsibilities on our shoulders.

Meanwhile Ali Ibrahim, Deputy Director General of Dubai Department of Economic Development for Executive Affairs pointed out that the decision of United Arab Emirates Central Bank to grant financial institutions competent finance operations right to issue certificates of deposit was issued in 2004.

He added that being one of those institutions, Mawarid Finance earned that right and as a result the Department of Economic Development granted them this authority.

Ali Ibrahim stressed that the strong financial status of Mawarid encouraged the Board of Directors of Mawarid to request this right.

Ibrahim added that there are many other financial institutions which operate in the state but have not been given this right yet.