Legal & General

Home finance partnership for Islamic Bank of Britain, Legal & General

UK insurance giant Legal & General has signed a partnership with Islamic Bank of Britain (IBB) to make two Islamic home finance products available to financial intermediaries. The Home Purchase Plan (HPP) is IBB’s flagship Islamic mortgage product and is a mortgage alternative, which offers home finance without the use of interest. The Shari’ah-compliant product allows customers to purchase their home in partnership with the bank on a leasing (Ijara) and diminishing partnership (Musharaka) agreement. Islamic Bank of Britain pioneered Shari’ah-compliant retail banking in the UK and has launched a wide range of products, including the Home Purchase Plan (the halal mortgage alternative) Current Accounts, Savings Accounts and Personal Finance. Several of the bank’s products remain unique in the UK retail market.

Ahli United Bank and Legal & General to establish regional life takaful company

Business Intelligence Middle East reported on 4 April about the planned 50:50 Joint-Venture between Ahli United Bank and UK-based Legal & General Group. Both parties agreed to set up a takaful life, pension plans and health insurance provider, subject to necessary regulatory and statutory approvals. The authorised capital is reported at about USD 200 mn, of which USD 25 mn will be initally paid up. Operations shall start later the year.

Mr Fahad Al Rajaan is Chairman of Ahli United Bank


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